Cadbury Owner Threatens UK Investment Over 'Junk Food' Regulations

The chief executive of Cadbury's owner, Mondelez International, has indicated that the company may reconsider future investment in Britain due to what he described as a volatile regulatory environment.

Dirk Van de Put, CEO of Mondelez, criticized the frequent changes to food and drink regulations implemented by the UK government in recent years. He stated that the company has invested £40 million in reformulating its products, an investment he believes is now jeopardized by these regulatory shifts. "How much should we invest in the UK if this is the environment we have to deal with?" Van de Put questioned, noting that the UK is Mondelez's second-largest market.

These comments come after the UK government introduced stricter rules earlier this year regarding the promotion and advertising of foods high in fat, salt, and sugar, as part of its strategy to combat obesity. Van de Put expressed concern that these frequent changes create uncertainty for the company's investment decisions.

Van de Put also criticized the Labour party for not including the food and drink industry in its industrial strategy, despite its significant contribution to the economy. He highlighted that the sector represents 25% of the UK's industrial output and employs over 500,000 people. "It's weird to me that a sector that represents 25 per cent [of the country's industrial output] is not included. That has consequences – you don't get energy subsidies, don't get R&D subsidies and so on. It doesn't make sense," he said.

Mondelez, which also owns brands such as Oreo and Toblerone, has eight sites in the UK, including the historic Bournville factory. When asked if the UK might lose investment due to government policy, Van de Put responded, "Yes. We will keep it in mind." He added that while the company has been a