As the UK approaches the second year of Extended Producer Responsibility (EPR) legislation, significant changes are set to affect how businesses are charged for packaging. Starting in 2026, fees will be adjusted to promote environmentally friendly packaging designs, judged on recyclability according to the Recyclability Assessment Monitor (RAM). Packaging will be marked with red, amber, or green indicators based on its recyclability, with detailed RAM guidelines expected in summer 2026.
EPR mandates that producers take full financial responsibility for the waste generated from their products throughout its life cycle. The goal is to mitigate the environmental impact of packaging by making producers accountable for recycling costs, including collection and treatment.
While many small and medium-sized enterprises (SMEs) will not be significantly impacted, those with annual turnovers between £1 million and £2 million, handling 25-50 tonnes of packaging, will need to comply with different regulations. This includes registering for EPR and paying an annual fee of £1,216, or £631 if using a compliance scheme. A range of businesses may be affected, including those that supply packaged goods, import products in packaging, or hire out reusable packaging.
Businesses must begin documenting their packaging activities, including the materials used in their supply chain, to comply with EPR requirements and avoid penalties. It is essential to start preparations now to streamline reporting and manage potential costs effectively.
Experts suggest that proactive planning and audits can help businesses navigate this evolving landscape, which emphasizes sustainability in packaging.
Why this story matters
- EPR is a pivotal shift in packaging waste management, aiming for a more sustainable future.
Key takeaway
- Businesses must adapt to new EPR regulations by documenting their packaging data and preparing for associated fees.
Opposing viewpoint
- Some argue that implementing EPR may impose additional financial burdens on small businesses, potentially stifling growth.