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Coca Cola increases price following sugar tax

Coca-Cola has put the price of bottles of Coke up by 20p, whilst the size of the bottle has shrunk from 1.75l to 1.5l. The 500ml bottle has also seen a price hike of 16p, now costing £1.25.

Coca-Cola said they have no plans to change the recipe by reducing the sugar, so their consumers will be directly impacted by the Government's soft drink tax. The sugar tax will add an extra 18p on drinks containing 5g of sugar or more per 100ml.

The tax was introduced in an attempt to encourage manufactures to reduce the amount of sugar from their soft drinks, with brands like A.G. Barr's Irn Bru updating their recipe, which now features sugar levels slashed from 10.3g per 100ml to 4.7g.

However despite the early changes, Coca-Cola's decision to maintain the sugar and pay the tax looks to have bypassed the government's initial forecast by pushing the tax implications onto their consumers.