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Study finds 10% fruit and veg subsidy could save £7.2bn

According to a recent study, subsidizing fruits and vegetables by up to 10% could help encourage healthy eating habits in the UK. Economists say rolling out the scheme would cost up to £991 million but, over the course of a lifetime and across the population, could save a massive £7.2 billion.



The 10% subsidy would do more to change the diets of overweight and obese people than a tax on unhealthy foods, the University of Bath study says. Healthy foods such as fresh fruit and vegetables, along with some fish and lean meat, should be subsidised.

In practical terms, the scheme would reduce a bag of apples from an average cost of £1.50 to £1.35 and a bag of carrots costing £1 to 90p.

Dr Javier Rivas, from the University of Bath's department of economics, said: "Our results suggest that a subsidy of around 10% on products strikes the best balance between shifting behaviours to encourage healthier eating and saving the taxpayer money in the long run.

"Growing levels of obesity pose a crippling problem for our health service now and in the future. Policymakers need to weigh up these new proposals against the long-term costs of overweight and obesity to the health service."

source: belfasttelegraph.co.uk
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