Question to the Department for Digital, Culture, Media & Sport:

To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment he has made of the potential effect of restrictions on the online advertising of products that are high in fat, salt and sugar on investment by food manufacturers in UK companies compared with international competitors.

The Impact Assessment published alongside the Government’s consultation response for the 2019 and 2020 consultations on further restricting the advertising of food and drinks products high in fat, sugar or salt (HFSS) on TV and online estimates that advertisers, including manufacturers, retailers and out of home businesses will have lower returns of around £39m per year as a result of the restrictions.

The restrictions will apply to all companies advertising to UK consumers, whether or not they are UK companies.

The Government is cognisant of the revenue impacts to UK business, but we must act now to reduce the risks obesity presents to us all and act to protect our NHS. It is estimated that obesity-related conditions are currently costing the NHS £6.1 billion per year. The total costs to society of these conditions have been estimated at around £27 billion per year.

Throughout this policy’s development we have been keen to mitigate the impacts on business whilst balancing the vital need to improve the nation’s health. Part of this includes the number of exemptions which are part of the policy. By including these exemptions, such as for small and medium enterprises (SMEs), it keeps the policy proportionate.