COCA-COLA has been judged the most valuable brand in the UK.

The soft drinks giant is worth about £1bn - nearly double that of its closest contender, according to independent brand consultancy Intangible Business.

Cadbury Dairy Milk is the second most valuable grocery brand at £524m, despite a salmonella scare that prompted a recall of more than one million chocolate bars. Breadmaker Warburtons came third at £390m, following a 15% annual sales growth over the past three years. Coca-Cola's arch rival, Pepsi was 10th, with a brand value of £248m.

The "UK's most valuable grocery brands 2006" report says: "Despite a consistently proven more popular product, Pepsi is unable to come anywhere near its rival, purely because of the strength of Coca-Cola's brand." Describing the success of Coke, the report says: "Its ability to appeal to both sexes, all ages, all social groups at any occasion sets it apart from virtually all other brands. It has an impressive heritage and has full market penetration in the UK and throughout the world."

But the soft drinks giant is facing a consumer backlash due to the trend for healthier, non-fizzy drinks and its perceived links with United States imperialism, the report warns. Actimel was the fastest growing brand in the top 100, while Fanta saw the biggest drop in brand worth.

Growing concerns over obesity mean the majority of the fastest growing brands play on their health benefits. And many brands at the bottom of the table are perceived as the unhealthiest. But the report says: "Ironically the brands in the two unhealthiest sectors, soft drinks and confectionery, account for 38% of the total value of these brands."