Thousands of cases of diabetes and cancer could be avoided , saving the NHS £300million , by putting a health tax of 12p a can on sugary drinks , it is claimed . Academics have calculated the likely reduction in consumption caused by putting up the price of full sugar drinks like Coca-Cola and Pepsi and the resulting health benefits . The work by experts at the University of Liverpool and the Children ’ s Food Campaign will fuel the growing campaign to extend the principle of a duty on unhealthy products from cigarettes and alcohol to some types of drink and food . Scroll down for video . Academics have calculated the likely reduction in consumption caused by putting up the price of full sugar drinks like Coca-Cola and Pepsi and the resulting health benefits . Health campaigners and doctors have controversially likened sugar and its contribution to obesity and ill-health as the ‘ new tobacco ’ . However , the drinks industry have challenged the figures , insisting a sugary drinks tax will only hit the poorest in society with higher living costs while doing nothing to improve their health . The Liverpool team calculates that a tax of 20p per litre – 12p per can – would reduce the number of cases of diabetes by just under 50,000 over 20 years . They estimate there would be a fall of 33,000 in cases of stroke and heart disease and some 9,000 fewer victims of bowel cancer . Malcolm Clark , co-ordinator of the Children ’ s Food Campaign , said a 20p per litre sugary drinks duty would save lives and money across England . These figures relate to England alone and the researchers estimate it would lead to savings of £300m in the cost of treating these people over the 20 years , releasing money for other patients . Soft drinks are the largest single source of sugar for children aged 4-10 years and teenagers , consequently any new levy would particularly hit consumption among this group . Money raised from the charge would support a new Children ’ s Health Fund , which would pay for sport and fitness schemes and equipment for youngsters . The campaign for a sugary drinks duty is supported by over 60 organisations , including public health and medical professional bodies , dentists , children ’ s charities , Action on Sugar and school food experts . Malcolm Clark , co-ordinator of the Children ’ s Food Campaign , said : ‘ Current taxes on foods are a mess , and don ’ t support people choosing healthier options . ‘ A 20p per litre sugary drinks duty would save lives and money across England , and ease the pressure on NHS services locally . It is a logical , proportionate and effective measure . ‘ Using the revenue to set up a Children ’ s Health Fund , paying for programmes to improve children ’ s health and protect the environment they grow up in , would also ensure that this was a progressive measure , benefiting families in poverty and on low incomes. ’ Public health directors in North West England and in Cardiff , as well as the London Health Commission , have publicly backed a sugary drinks duty . Professor Damien Walmsley , the British Dental Association ’ s scientific adviser , said : ‘ A tax on sugary drinks and food is a no brainer . It 's a scandal that one in eight of our three-year olds currently experiences tooth decay . It 's time we tackled the problem at source. ’ Health campaigners and doctors have controversially likened sugar and its contribution to obesity and ill-health as the ‘ new tobacco ’ The research looking the impact of the levy was led by Brendan Collins , Research Fellow in Health Economics , University of Liverpool , who has created a model showing the effect by local authority area across England . This found the areas likely to see the biggest benefits by virtue of the fact they have a younger population and higher consumption of the drinks were Slough , Manchester , Luton , Blackburn , Leicester , Birmingham , Milton Keynes , Bradford and Nottingham . Robin Ireland , the director of Food Active , which is supported by Directors of Public Health in the north west of England , said : ‘ Just as extra taxes on cigarettes have helped to change purchasing habits and reduce smoking , adding 20p per litre onto the price of sugary drinks would encourage people to consume less and lead to improvements in quality of life . ‘ We want to see the next Government introduce a sugary drinks duty without delay. ’ CitizensUK , which is an alliance of local community groups , said : ‘ We are calling for a Children ’ s Health Fund to enable a step-change in early intervention . Since there is no spare money in the NHS , we are calling for a duty on sugary drinks , which will itself reduce diabetes and obesity. ’ Director of the British Soft Drinks Association , Gavin Partington , rubbished the research and its figures . He said : ‘ This is a flawed model based on misleading figures created by campaigners in support of their cause . The overwhelming evidence suggests that ill-health is linked to a range of factors including lifestyle , levels of exercise and overall diet . ‘ A tax on soft drinks would adversely impact the poorest in society while doing nothing to curb obesity . ’
Experts believe there should be a 12p tax cans of sugary drinks like Pepsi . They believe tax will reduce cases of diabetes by 50,000 over 20 years . Cases of stroke and heart disease would also be cut by around 33,000 . Health campaigners likened sugar 's impact on health as the 'new tobacco '