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WHO calls for tax hikes as alcohol becomes ‘too affordable’

The World Health Organization (WHO) is urging governments to raise and redesign alcohol taxes as it claims alcoholic drinks have become ‘too affordable’, despite rising health burdens.

The  Genever-headquartered World Health Organization is calling for alcohol tax reform

In two global reports released yesterday (13 January), UN agency WHO claims that sugary drinks and alcoholic beverages are getting cheaper, due to consistently low tax rates in most countries, which in turn is fuelling obesity, diabetes, heart disease, cancers and injuries, especially in children and young adults.

As such, WHO is calling on governments to ‘significantly strengthen taxes’ on sugary drinks and alcoholic beverages.

The reports warn that weak tax systems are allowing harmful products to remain cheap while health systems face mounting financial pressure from preventable noncommunicable diseases and injuries.

“Health taxes are one of the strongest tools we have for promoting health and preventing disease,” said Dr Tedros Adhanom Ghebreyesus, WHO director general. “By increasing taxes on products like tobacco, sugary drinks, and alcohol, governments can reduce harmful consumption and unlock funds for vital health services.”

The WHO’s Global report on the use of alcohol taxes 2025 report shows that at least 167 countries levy taxes on alcoholic beverages, while 12 ban alcohol entirely.

It found that spirits are taxed by all countries that apply excise duties to alcoholic beverages, with the excise tax share in the retail price of the most-sold type of spirits falling around 28%, compared with approximately 21% for beer.

The report found that wine is still exempted in at least 25 countries in some regions, mostly in Europe, despite clear health risks.

Separate WHO analyses linked to the tax report indicates that since 2022, spirits have become more affordable in a majority of countries (67), suggesting tax changes are not keeping pace with income growth and inflation.

In contrast, spirits became less affordable in approximately 25 markets, with no change in about 21 countries.

WHO also found that tax shares on alcohol remain low, with global excise share medians of 14% for beer and 22.5% for spirits.

Dr Etienne Krug, director of WHO’s department of health determinants, promotion and prevention highlighted that “more affordable alcohol drives violence, injuries and disease. While industry profits, the public often carries the health consequences and society the economic costs.”

In 2023 the WHO revealed 2.6 million people globally die from drinking alcohol every year.

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