WHO warns aid cuts threaten health systems, urges higher health taxes

WHO warns aid cuts threaten health systems, urges higher health taxes
WHO Director-General Dr. Tedros Adhanom Ghebreyesus/HANDOUT
In Summary

Speaking during WHO’s first media briefing of 2026, Tedros urged governments to urgently strengthen domestic health financing, highlighting health taxes on tobacco, alcohol and sugary drinks as a proven and sustainable solution.

WHO Director-General Tedros Adhanom Ghebreyesus has warned that sharp cuts in global aid are severely disrupting health systems in many countries, threatening access to essential services and undermining years of health progress.

Speaking during WHO’s first media briefing of 2026, Tedros urged governments to urgently strengthen domestic health financing, highlighting health taxes on tobacco, alcohol and sugary drinks as a proven and sustainable solution.

“Over the past year, sudden and severe cuts to aid have caused severe disruptions to health systems and services in many countries,” Tedros said.

He noted that while WHO is supporting countries to maintain essential services in the short term, long-term stability requires a shift away from aid dependency towards “sustainable self-reliance.”

Tedros singled out health taxes as one of the most effective tools available to governments. “Health taxes have been shown to reduce consumption of these harmful products, helping to prevent disease and reduce the burden on health systems,” he said, adding that they also “generate an income stream that governments can use to invest in health, education and social protection.”

The WHO chief acknowledged that such taxes are often politically sensitive and face resistance from powerful industries, but stressed that evidence shows they work when well designed.

“Health taxes are not a matter of set it and forget it,” he said. “To be effective, they must be designed carefully.”

New WHO reports released this week show that in most countries, taxes on alcohol and sugary drinks remain too low, poorly structured and rarely aligned with public health goals, making these products increasingly affordable despite their growing health costs.

Tedros pointed to concrete examples of success. In the Philippines, a major reform of tobacco and alcohol taxes increased revenues more than fivefold, helping to expand national health insurance coverage.

In the United Kingdom, a levy on sugary drinks introduced in 2018 reduced sugar consumption and generated £330.8 million in revenue in 2024 alone, while being linked to lower obesity rates among girls aged 10 to 11, particularly in deprived areas.

Momentum is building globally, he said. Last year, countries including Malaysia, Mauritius, Slovakia, Sri Lanka and Vietnam introduced or increased taxes on tobacco, alcohol or sugary drinks.

Already this year, India has introduced a new excise duty on tobacco, while Saudi Arabia rolled out a tiered tax on sugary drinks that charges higher rates for higher sugar content.

Tedros said WHO is committed to supporting more countries to adopt similar measures.

“We look forward to supporting more countries to design and implement health taxes to protect health and transition away from a dependency towards sustainable self-reliance,” he said.

He warned that without decisive action, funding shortfalls will continue to erode health systems, leaving millions vulnerable.

As governments grapple with tightening budgets, Tedros said health taxes offer a rare opportunity to save lives while securing reliable financing for the future.

Join the Conversation

Enjoyed this story? Share it with a friend:

Latest Videos
MOST READ THIS MONTH

Stay Bold. Stay Informed.
Be the first to know about Kenya's breaking stories and exclusive updates. Tap 'Yes, Thanks' and never miss a moment of bold insights from Radio Generation Kenya.