Junk-food ad ban starts, targeting HFSS products to cut obesity costs

The UK’s new junk-food advertising ban aims to curb costly negative consumption externalities by restricting ads for high fat, salt and sugar (HFSS) products on TV before 9 pm and online at all times, a move designed to reduce childhood obesity and its economic burden on the NHS and productivity. Critics argue it could distort markets and create government failure if loopholes or brand-only advertising weakens impact, while firms face reduced demand and potential reformulation costs as they adjust to tighter regulation.

Junk food advert ban comes into effect with soft drinks, porridge and chocolate included | UK News | Sky News

1. Explain how the UK ban on HFSS junk-food advertising is likely to affect the demand and supply for high fat, salt and sugar (HFSS) products.

2. Analyse the possible market failures in the HFSS products market that justify government intervention such as the advertising ban.

3. Evaluate the likely success of the advertising ban in reducing childhood obesity.