‘Meat tax’ could have significant impact on environmental footprint, study finds

January 20, 2026

TL;DR

Applying full VAT to meat products like beef, pork, lamb, and chicken could drastically cut environmental impacts.
This policy could reduce ecological destruction by 3% to 6% and cost households as little as €26 per year if revenues are redistributed.
Meat consumption contributes significantly to the EU's ecological footprint, including greenhouse gas emissions, biodiversity loss, and water consumption.
Twenty-two out of 27 EU member states currently levy reduced VAT rates on meat, masking its environmental costs.
A study by the Potsdam Institute for Climate Impact Research examined full VAT levies and carbon pricing on food.
The global environmental footprint of meat is substantially higher than plant-based foods, except for water use.
Removing tax breaks on meat, the most damaging food, is proposed as a simple first step.
Tax breaks for meat vary across EU countries, with Ireland having the largest discrepancy.
Ending VAT privileges for meat could reduce food consumption's environmental damage by 3.48% to 5.7%.
Applying full VAT would increase average annual food expenditure by €109, but redistribution could lower the net cost to €26.
A carbon price of €52 on food products could be even cheaper for consumers and yield greater environmental benefits.
The study emphasizes the need for transparency regarding policy goals and the use of revenues.

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