Ayo is the founder of Why Matters, a Shopify agency based in Brighton. With over 20 years of experience in ecommerce, digital marketing, and ROI-driven growth, he has helped hundreds of Shopify brands build, launch, and scale their online stores. Why Matters is a certified Shopify, Klaviyo, and Recharge partner.
Checked 19 September 2026. Every figure carries its source and date, with trade reporting of panel data labelled as such and the deposit return scheme details worth rechecking through 2027.
UK soft drinks reached a record £26.3 billion in 2025 with volume up 2.2%, making this the one sector in our statistics series where value and volume are both growing. Low and no calorie products now make up 71.4% of the market, and the wider industry has cut sugar, salt and calories by around a fifth in five years. Snacking is close to universal but overwhelmingly a physical retail occasion, which shapes what direct selling can realistically look like. The two dates that matter commercially are the advertising restrictions, already in force, and the deposit return scheme, live on 1 October 2027 with registration due by 9 July.
Soft drinks and snacking are measured by different bodies using different definitions, and most coverage blends them into a single wellness narrative. This guide keeps them apart, labels the figures that reach the public through trade press rather than original releases, and then covers the two regulatory changes that will affect packaging, pricing and marketing more than any consumer trend.
Three cautions. Soft drinks and snacks are separate markets, so we do not add £26.3 billion and £5.3 billion together to invent a combined figure. Retail value is not ecommerce value, and we found no robust open dataset giving a direct selling share of the UK savoury snacks market. And several widely quoted snacking figures are trade reporting of panel data rather than original releases from the panels themselves, which we label wherever they appear.
The soft drinks data is the strongest evidence in this article and the most encouraging.
The association reported a record £26.3 billion market with total volume up 2.2% and average consumption of 232 litres a person, with growth across every major category (BSDA). Sports and energy drinks led on volume at 3.9%, followed by bottled water at 3.3% and carbonates at 1.9%. Its principal categories are carbonates, fruit juices, dilutables, still and juice drinks, bottled waters, and sports and energy drinks, which is worth knowing because other datasets group beverages differently.
This is the sector story most commercial coverage misses, and it is genuinely remarkable.
Low and no calorie drinks, defined as 0 to 20 kcal per 100ml, made up 71.4% of the market in 2025, with regular drinks at 31 kcal or more accounting for 22.0% and mid calorie at 6.6% (BSDA). The association reports take home sugar from soft drinks falling 43% between 2015 and 2024 on Kantar data, with just under three quarters of a billion kilograms of sugar removed, and says soft drinks now account for just over 6% of take home sugar (BSDA, BSDA).
The wider picture matches. Food and Drink Federation member products contributed 19% less sugar, 18% less salt and 17% fewer calories to the British grocery market in 2025 than in 2021, with the sales weighted nutrient profile score improving 13% (FDF). Those figures cover FDF member products rather than every product sold in Britain, which is an important qualification. Commercially, reformulation now affects levy exposure, advertising eligibility, retailer listings, promotional options, consumer perception and margin all at once.
Trade reporting put the UK crisps, snacks and nuts category at £5.3 billion in August 2026, attributed to NielsenIQ, with savoury snacks alone above £4.8 billion on Circana data, 96% of consumers eating savoury snacks and more than 65% buying them at least weekly on Norstat data (Asian Trader). Separate trade reporting using Kantar data gives penetration as 99% with 77% buying through convenience (Convenience Store).
We do not treat 96% and 99% as the same measure, because they come from different sources, periods and definitions. What both agree on is that snacking is close to universal, and the convenience figure points at the commercial problem: much of this category is bought for immediate consumption, on impulse, in physical retail. Direct selling therefore has to change the purchase unit, from one packet into multipacks, cases, bundles, discovery boxes or subscriptions, because nobody orders a single bag of crisps online.
Functional drinks are growing fast from a small base. Trade reporting of Circana data put the segment at £178 million in the 52 weeks to 22 September 2025, up 34% year on year and around 1.9% of UK soft drinks sales (The Grocer). Earlier reporting valued it at £143.5 million to January 2025, up 26.4%, with health shots up 73%, CBD beverages up 50% and kombucha up 22% (The Grocer).
On consumers, YouGov surveyed 2,106 UK adults in research published in February 2025 and found 39% consuming functional drinks, with energy drinks at 31% of those consumers and probiotic drinks and protein shakes at 25% each (YouGov). Ocado reported functional and health drink sales up 54% on its platform in June 2025, with 61% of Gen Z respondents consuming them several times a month and 60% seeing them as a good alternative to alcohol socially (Ocado), which is retailer data rather than a UK growth rate.
The low and no alcohol crossover is real. IWSR reported the total UK no and low alcohol market more than doubling in 2024 against 2023, helped by duty changes and beer ABV realignments, with no alcohol beer up 20%, no alcohol wine up 8%, no alcohol spirits up around 7% and low alcohol wine down 5%, and forecast 7% compound growth to 2028 (IWSR).
One finding should temper the enthusiasm. Research covering 2,500 UK shoppers, commissioned by a functional drinks brand, found roughly three quarters finding the category confusing. A fast growing category that customers do not understand is an opportunity for whoever explains it best.
Circana reported US snack sales of $231 billion in its 2026 research, up 3.2%, with 55% of US shoppers eating three or more snacks a day, nine percentage points higher than 2021, and identified functional health goals, weight loss medication use, protein, portion choice and digital discovery as the forces reshaping the category (Circana). Those are US figures and are not evidence about the UK market, though the direction of travel on protein and function is visible here too.
The UK restrictions came into force on 5 January 2026 across England, Wales, Scotland and Northern Ireland, including a 9pm television watershed and a 24 hour restriction on paid online advertising of identifiable less healthy products (GOV.UK).
For affected businesses, the practical consequence is that email, consented SMS, organic search, direct traffic, brand demand, loyalty and repeat purchase all become more valuable, because the paid product advertising route narrows (email marketing guide).
This is the most time sensitive section in the article.
The scheme becomes operational on 1 October 2027 in England and Northern Ireland, with Scotland working to the same timetable and Wales also launching that day (GOV.UK, Welsh Government). Exchange for Change, the industry led not for profit delivering the scheme, has confirmed a flat 20p refundable deposit on single use PET plastic, steel and aluminium containers between 150ml and 3 litres, paid at purchase and refunded on return (Exchange for Change).
Two details matter most for merchants. Existing in scope products must be registered no later than twelve weeks before launch, which Exchange for Change gives as 9 July 2027 (Exchange for Change), and its material specification covers container scope, dimensions, labelling, barcodes, registration and quality standards. Wales differs on glass: it is included from launch but carries a zero pence deposit and is exempt from labelling requirements during a four year transition running to 30 September 2031, with Exchange for Change appointed as the Welsh deposit management organisation in August 2026.
| Event | 2027 dates | Location |
|---|---|---|
| IFE | 5 to 7 April | ExCeL London |
| Speciality and Fine Food Fair | 5 to 7 April | ExCeL London |
| Food and Drink Expo | 12 to 14 April | NEC Birmingham |
| National Convenience Show | 12 to 14 April | NEC Birmingham |
Sources: IFE, Speciality and Fine Food Fair and Food and Drink Expo. IFE expects more than 25,000 verified trade visitors and over 1,500 exhibitors across its wider platform, with Speciality and Fine Food Fair joining Food, Drink and Hospitality Week in 2027. The National Convenience Show is co located with Food and Drink Expo, Farm Shop and Deli Show, the Forecourt Show and Foodex.
Checked 19 September 2026. Soft drinks, crisps and savoury snacks, functional drinks, low and no alcohol and foodservice datasets are kept separate because they use different definitions and measurement systems, and the soft drinks and snacks values are never added together. Retail market value is distinguished from ecommerce value, and we found no robust open dataset giving a direct selling share of UK savoury snacks. Trade reporting of NielsenIQ, Circana and Norstat data is labelled as secondary, retailer figures are labelled as retailer figures, and US data is kept separate from UK data.
We review this page annually, and sooner if the BSDA publishes new annual data, the panels release new public figures, advertising rules change, the regulatory nutrient profiling model changes or Exchange for Change changes deposit return requirements. We would recheck the deposit return section more frequently through 2027, since operational requirements are still developing. The operational and compliance side sits in our snacks and drinks ecommerce guide.
Soft drinks is the one sector in this series where the numbers are unambiguously good: a record market, volume growth, every category up, and a reformulation record that most industries would struggle to match. The interesting commercial question is not whether the category is healthy but what the two regulatory changes do to how brands reach customers.
The advertising restrictions push spend towards owned channels, which favours brands with an email list and a reason for people to come back. The deposit return scheme adds a visible cost to every multipack on a product page, eighteen months from now, which is long enough to plan for and short enough to start. Our eco guide covers how to talk about the packaging side without straying into claims you cannot support.
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How big is the UK soft drinks market?
The British Soft Drinks Association reported a record £26.3 billion in 2025, with volume up 2.2% and average consumption reaching 232 litres per person.
Is the UK soft drinks market growing?
Yes, on both measures, which is unusual. Every major category grew in 2025, led by sports and energy drinks at 3.9% volume growth, bottled water at 3.3% and carbonates at 1.9%.
How much of the UK soft drinks market is low or no calorie?
71.4% in 2025 on the association's definitions, against 22.0% regular and 6.6% mid calorie. It also reports take home sugar from soft drinks falling 43% between 2015 and 2024.
How big is the UK snacks market?
Trade reporting put the crisps, snacks and nuts category at £5.3 billion in August 2026, attributed to NielsenIQ, with savoury snacks alone above £4.8 billion on Circana data. Both are secondary reporting rather than original releases.
When does the deposit return scheme start?
1 October 2027 across England, Scotland, Wales and Northern Ireland. Existing in scope products must be registered with Exchange for Change by 9 July 2027, twelve weeks before launch.
How much is the deposit?
A flat 20p on single use PET plastic, steel and aluminium containers from 150ml to 3 litres. Glass is included in the Welsh scheme from launch but carries a zero deposit until 30 September 2031.
Do the UK advertising restrictions apply to my drinks brand?
Only if the product falls in a specified category and meets the nutrient profiling threshold, which is 1 or more points for drinks and 4 or more for foods, and if the business employs 250 or more people. Drinks without added sugar are among the exclusions.
Are functional drinks growing?
Quickly from a small base. Trade reporting of Circana data put the segment at £178 million in the 52 weeks to September 2025, up 34%, representing roughly 1.9% of UK soft drinks sales.
UK soft drinks is growing on value and volume, most of it is now low or no calorie, and the industry has a measurable reformulation record. Snacking is close to universal but built around impulse purchases in physical shops, which direct brands have to work around rather than ignore. The figures worth acting on are not the market totals though. They are 9 July 2027 for deposit registration, 1 October 2027 for launch, and the nutrient profiling thresholds that decide whether you can advertise a product at all.