Public health product tax in Hungary: An example of successful intersectoral action using a fiscal tool to promote healthier food choices and raise revenues for public health (2015)

In 2011, the Hungarian Parliament passed legislation creating the public health product tax—a tax levied on food products containing unhealthy levels of sugar, salt and other ingredients in an effort to reduce their consumption, promote healthy eating and create an additional mechanism for financing public health services. Four years since the tax was introduced, consumption of taxable unhealthy foods in Hungary has decreased. Many food manufacturers have reduced or eliminated unhealthy ingredients in their products, population awareness of healthy eating has increased, and approximately US$ 219 million in revenue has
been raised and earmarked for health spending.