Philadelphia's new soda tax will go into effect in January – as long as a lawsuit against the city doesn't stop it– and once it's legal, the new tax could bring about potentially millions of dollars in healthcare savings.
The 1.5 cents per ounce tax, part of the Kenney Administration's plan to raise millions of dollars in funding for Philly's public schools, is also expected to save Philadelphians $200 million in health care costs over a 10-year period, according to a new study released Thursday by the Harvard University's T.H. Chan School of Public Health.
Philadelphia officials also estimated the tax would save $200 million in health care costs and 700 lives in the treatment of diabetes over the next decade.
The Harvard study – citing multiple data sources including the U.S. Census, the National Survey of Children's Health and the National Health and Nutrition Examination Survey – added that 2,280 cases of diabetes would be prevented within one year of when the tax reaches its full effect. It also concluded that 36,000 cases of obesity would be prevented within the first 10 years after implementation.
The study was released just ahead of the Nov. 8 vote on the measures in three California cities — San Francisco, Oakland and Albany. The proposals would tax soda at a rate of 1 cent per ounce.
To read more about the study, click here.
Local
Breaking news and the stories that matter to your neighborhood.
For more business news, visit Philadelphia Business Journal.
