WHO’s Bold Plan: Raise Health Taxes, Save Millions
The World Health Organisation (WHO) has launched a major new initiative urging countries to raise real prices on tobacco, alcohol, and sugary drinks by at least 50% by 2035 through health taxes in a move designed to curb chronic diseases and generate critical public revenue. The “3 by 35” Initiative comes at a time when health systems are under enormous strain from rising noncommunicable diseases (NCDs), shrinking development aid and growing public debt.
The consumption of tobacco, alcohol, and sugary drinks is fueling the NCD epidemic. NCDs, including heart disease, cancer, and diabetes, account for over 75% of all deaths worldwide. A recent report shows that a one-time 50% price increase on these products could prevent 50 million premature deaths over the next 50 years.
“Health taxes are one of the most efficient tools we have,” said Dr. Jeremy Farrar, Assistant Director-General, Health Promotion and Disease Prevention and Control, WHO. “They cut the consumption of harmful products and create revenue governments can reinvest in health care, education, and social protection. It’s time to act.”
The Initiative has an ambitious yet achievable goal of raising US$1 trillion over the next decade. Between 2012 and 2022, nearly 140 countries increased tobacco taxes, resulting in an average increase in real prices of over 50%, demonstrating that large-scale change is indeed possible.
From Colombia to South Africa, governments that have introduced health taxes have seen reduced consumption and increased revenue. Yet many countries continue to provide tax incentives to unhealthy industries, including tobacco. Moreover, long-term investment agreements with industry that restrict tobacco tax increases can further undermine national health goals. WHO encourages governments to review and avoid such exemptions to support effective tobacco control and protect public health.
Strong collaboration is at the heart of the “3 by 35” Initiative’s success. Led by the WHO, the Initiative brings together a powerful group of global partners to help countries put health taxes into action. These organisations offer a mix of technical know-how, policy advice, and real-world experience. By working together, they aim to raise awareness about the benefits of health taxes and support efforts at the national level.
Many countries have expressed interest in transitioning toward more self-reliant, domestically funded health systems and are turning to the WHO for guidance.
The “3 by 35” Initiative identifies key action areas to support countries, pairing proven health policies with best practices in implementation. These include direct support for country-led reforms, with the following goals in mind.
Cutting harmful consumption by reducing affordability through increasing or introducing excise taxes on tobacco, alcohol, and sugary drinks to raise prices and reduce consumption, cutting future health costs and preventable deaths.
Raising revenue to fund health and development by mobilising domestic public resources to fund essential health and development programmes, including universal health coverage.
Building broad political support across ministries, civil society, and academia: Engaging ministries of finance and health, parliamentarians, civil society, and researchers to design and implement effective policies will strengthen multisectoral alliances.
WHO is calling on countries, civil society, and development partners to support the “3 by 35” Initiative and commit to smarter, fairer taxation that protects health and accelerates progress toward the United Nations Sustainable Development Goals (SDGs).
