Tycoon swallows £3.6m tax defeat over anti-ageing tonic

By the Editorial Team · Wednesday, September 23, 2026

Entrepreneur Tony Sanguinetti and his company Minerva Research Labs lost a tribunal case disputing £3.6 million in VAT, as their collagen drink was ruled not to qualify as a zero-rated food item. The decision means Minerva must pay standard VAT on its best-selling product, which was deemed more medicinal than food due to its marketing and precautionary labels.

An entrepreneur behind a popular anti-ageing collagen drink has lost a legal battle over a £3.6 million tax dispute after a tribunal ruled his product does not qualify as a zero-rated food item for VAT purposes.

Tony Sanguinetti, founder of Minerva Research Labs, established the London-based company 17 years ago to produce collagen supplements derived from sardine scales and cow hides. Sanguinetti said he was inspired to develop the product after becoming “obsessed with finding a way to reverse the signs of ageing,” drawing on his experience with collagen drinks in Japan. Minerva’s Gold Collagen Pure is reported to be the UK’s best-selling collagen supplement, with the company generating annual revenues of approximately £16 million. The product has been endorsed by celebrities including model Yasmin Le Bon, television presenter Charlotte Hawkins, and Olympic gold medallist Dame Denise Lewis.

The dispute began when Minerva, which had been paying VAT at the standard rate since the product’s UK launch in 2011, requested a refund from HM Revenue & Customs (HMRC) for VAT paid since 2018, asserting that its collagen drinks should have been zero-rated because they qualify as food items. HMRC rejected the claim, prompting Minerva to appeal to a tax tribunal.

During the tribunal, Minerva’s legal team argued that the product should be classified as a food supplement providing “healthy nutrition” rather than being treated like a medicinal product. They described the drink as offering “a perfect blend of nutritional ingredients” that support healthy skin, hair, joints, and muscles. Sanguinetti emphasized that when introduced in the UK market, no comparable products existed.

However, the tribunal, presided over by Judge Anne Redston, ruled against Minerva. The judge acknowledged that the collagen drinks were promoted as providing nourishment, which is a primary function of food, but concluded that this alone was insufficient to classify them as food items for tax purposes. She highlighted inconsistencies, including the use of terms such as “dose” and “treatment” in marketing and packaging, which aligned more closely with medicinal products than foods.

Additionally, the presence of precautionary labelling advising consultation with a doctor for pregnant or breastfeeding women and those on medication was cited as further evidence against the classification of the products as food. The judge stated, “That too is not characteristic of foods.”

As a result, Minerva Research Labs must bear the tax liability on the £3.6 million in VAT paid, with the tribunal's decision affirming the application of the standard VAT rate on the collagen supplements.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.