New Packaging Tax Starts in April 2025

25th February 2025

there is a new packaging tax coming into effect in April 2025. Here are the key details:

Plastic Packaging Tax Increase: The rate of the Plastic Packaging Tax (PPT) will increase from £217.85 to £223.69 per tonne. This tax applies to plastic packaging containing less than 30% recycled plastic that is manufactured or imported into the UK.

Packaging Extended Producer Responsibility (pEPR) Scheme: This new scheme will impose additional costs on manufacturers, particularly those using heavier packaging materials like glass. The tax on food and drink packaging will be significantly higher for glass compared to other materials, potentially leading to price increases for products packaged in glass.

These changes are part of the government's efforts to encourage the use of recycled materials and reduce the environmental impact of packaging.

Plastic Packaging Tax: steps to take
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If you have manufactured or imported 10 or more tonnes of plastic packaging in the last 12 months, you may need to register for the tax.

You need to register for the Plastic Packaging Tax if you:

expect to import into the UK or manufacture in the UK 10 tonnes or more of finished plastic packaging components in the next 30 days
have imported into the UK or manufactured in the UK 10 tonnes or more of finished plastic packaging components in the last 12 months
You will need to pay Plastic Packaging Tax if you have manufactured or imported plastic packaging components which contain less than 30% recycled plastic.

Packaging should only contain recycled plastic where it is permitted under other regulations and food safety standards.

The tax came into force on 1 April 2022 and is charged at a rate of:

£200 per tonne from 1 April 2022
£210.82 per tonne from 1 April 2023
£217.85 per tonne from 1 April 2024
What you must do
Check which packaging is subject to Plastic Packaging Tax and the definitions of finished components and substantial modifications, to find out if the packaging you manufacture or import is subject to the tax.

Find out more at https://www.gov.uk/guidance/check-if-you-need-to-register-for-plastic-packaging-tax