The UK Government has released the third iteration of illustrative base fees for the first year of the Extended Producer Responsibility (EPR) for packaging, slated to begin in 2025.
This marks a significant step in the Government's commitment to improving waste management and recycling infrastructure across the UK.
The fees, which reflect the agreed modelling scenario for local authority waste management costs, provide the industry with an estimate of financial obligations for the coming year.
These rates, calculated per tonne of packaging material, include figures such as £435 for aluminium, £485 for plastic, and £240 for glass.
"This approach ensures we allocate resources fairly while holding producers accountable for their environmental impact," a government spokesperson explained.
The total disposal costs for 2025, set at £1.5 billion, are notably lower than earlier projections, which estimated £1.8 billion. The Government attributes this reduction to updated data and refined modelling techniques.
Data adjustments and compliance monitoring
The figures are based on producer-reported data for January to June 2024, submitted through the Report Packaging Data (RPD) online portal. Adjustments were made to account for non-compliance and incomplete submissions.
For example, data from producers who reported less than six months of activity were scaled proportionally, and discrepancies from previous years were addressed.
While this release provides a clearer picture than earlier iterations, uncertainties remain. Regulators continue to monitor and validate the data, working with producers to correct errors. "These are illustrative figures, not finalised fees," the spokesperson emphasised. "Producers should prepare for adjustments as more data is collected and validated."
Key changes include increased fees for ‘Other’ materials, driven by a 36% rise in local authority costs, and higher fees for glass due to a reduction in reported tonnage.
Preparing for modulated fees in 2026
Looking ahead, fees will be modulated from 2026 onwards to incentivise recyclability. Packaging materials deemed harder to recycle will attract higher fees, aligning with the Government's Recyclability Assessment Methodology (RAM).
"The shift towards modulated fees is a crucial step in our journey to a circular economy," the spokesperson noted. A draft of the RAM will be shared in early 2025 to gather industry feedback, with final guidelines expected by the end of the year.
Producers must submit data for the second half of 2024 by April 2025, with final fees for 2025 due in July. Businesses are urged to stay informed to meet their obligations and plan effectively.
By providing updated base fees and a roadmap for future changes, the Government aims to foster collaboration between local authorities, producers, and regulators, paving the way for a more sustainable packaging landscape.
