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UK Government delays EPR implementation

On 26th July, the UK Government announced a delay in implementation of the Extended Producer Responsibility (EPR) scheme on Packaging for a year until October 2025. However, reporting for 2023/2024 packaging supplied or imported remains in place for both Small and Large Producers under EPR rules.

BHETA is very pleased with the pause as this will help the Government develop a more measured, thought through and well communicated approach, and save many producers a considerable additional tax outlay in 2024.

Under the Packaging Waste (Data Reporting) (England) Regulations 2023,

  • Large Producers must enrol for EPR using the Government Portal from 16th August
  • EPR Large Producers are required to start reporting their H1 packaging data this quarter
  • EPR Small Producers are required to start reporting their H1 packaging data from January 2024

 

Not sure of your responsibilities?

If any BHETA member is unsure about your responsibilities then we urge you to consult your Scheme Provider, which for many members will be Wastepack. You can contact Wastepack’s team by emailing epr@wastepack.co.uk or calling 01279 620000.

If you are not part of any scheme then we advise you to contact Laurence Cunningham, Sales Manager at Wastepack.

Email: Laurence.Cunningham@wastepack.co.uk

Mobile: 07719049704

 

What does this mean for producers? 

Following the fee delay announcement, Defra have confirmed that the current ‘Producer Responsibility Obligations (Packaging Waste) Regulations 2007’ (PWR’s) will not be revoked for 2024, and they will soon be setting recycling targets for 2024.

Producers currently obligated under the PWR’s for 2023 compliance will have reporting and financing obligations under these regulations for the 2024 compliance year.

Many producers will be required to report under EPR rules, as well as the PWR’s.

 

EPR Large Producer (LP) 

  • Large Providers must enroll for EPR via the Government’s online portal from 16th August 2023.
  • An ‘Approved Person’ within your business will be required to complete this by following the link below.
  • EPR Large Providers are required to submit 2023 period 1 data in August/September. Period 1 data covers packaging supplied/imported from January to June 2023 under EPR rules.
  • Period 2 data covering July to December 2023 will be submitted from January 2024.

click here to enrol for EPR

 

PWR Obligation

  • Any current obligations under the Packaging Waste Regulations will continue for the 2023 compliance year.
  • For 2024, if you remain above the £2 million turnover and 50 tonnes of packaging handled thresholds under the PWR’s, you will have reporting and financing obligations under these regulations for 2024 compliance.
  • Obligated producers will be required to submit data to your Scheme Provider in late Winter/early Spring 2024 covering packaging handled January to December 2023 under PWR rules.

 

EPR Small Producer (SP)

  • EPR Small Producers are required to submit data to your Scheme Provider from January 2024 covering packaging supplied/imported from January until June 2023 under EPR rules.
  • SP’s must enrol for EPR via the Government’s online portal from January 2024.

 

BHETA comment:

Whilst agreeing in principal with the aim of reducing packaging where feasible, BHETA has lobbied against some of the key details of the new EPR plans and the wholly unfair burden that the changes will place upon suppliers, and the implementation timescales which were not in step with the development and communication of the detailed requirements.

The government has been unclear about how the EPR Scheme will operate causing significant frustration amongst businesses who were trying to adapt their business and plan ahead.

BHETA has challenged the government on its proposed structure of payments which is forecast to increase packaging PRN costs for BHETA members supplying products in branded packaging by over ten times compared to 2021 costs (although no-one knows for sure as the detail is still not available from Government).

Will Jones, Chief Operating Office of BHETA said: “Under EPR, for branded products the Government plans to make a huge shift in financial responsibility for the treatment of waste packaging throughout its lifecycle, with producers picking up 100% of the bill, whereas in 2021 only 10% of the cost was attributed to producers through PRNs. This dramatic change will cause huge financial pressures for suppliers and drive substantial inflation. We urge the Government to move more slowly and make what are effectively large tax increases for producers over a number of years in order to reduce the financial shock to the supply chain.”

Read the Government announcement here

CLICK FOR GOVERNMENT ANNOUNCEMENT

 

 

 

 

 

 

 

 

 

 

Whilst agreeing in principal with the aim of reducing packaging where feasible, BHETA has lobbied against some of the key details of the plans and the wholly unfair burden that the changes will place upon suppliers, and the implementation timescales which were not in step with the development and communication of the detailed requirements.

The government has been unclear about how the EPR Scheme will operate causing significant frustration amongst businesses who were trying to adapt their business and plan ahead.

BHETA continues to challenge the government on its proposed structure of payments which is forecast to increase packaging PRN costs for BHETA members by between eight to ten times compared to 2021 costs (although no-one knows for sure as the detail is still not available from Government).

Will Jones, COO of BHETA said: “Under EPR, for branded products the Government plans to make a huge shift in financial responsibility for the treatment of waste packaging throughout its lifecycle, with producers picking up 100% of the bill, whereas in 2023 only 10% of the cost was attributed to producers through PRNs. This dramatic change will cause huge financial pressures for suppliers and drive substantial inflation. We urge the Government to move more slowly and make the financial responsibility changes over a number of years in order to reduce the shock to the supply chain.”

 

Read the Government announcement here.


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