The UK government plans to raise the Plastic Packaging Tax in line with the Consumer Price Index (CPI) from 1st April 2024. This move aims to stimulate businesses to use more recycled plastic in packaging, fostering greater demand for recycled materials and promoting recycling initiatives. There’s a proposal to introduce an escalator to the tax rate and set a minimum recycled content threshold in the future. The tax, first introduced in April 2022, seeks to align with environmental goals and reduce plastic waste by encouraging sustainable packaging practices.
The new rate will be £217.85 per tonne for packaging that does not contain at least 30% recycled plastic, effective from the 1st April 2024. The measure is not anticipated to have a significant impact on the economy or individuals, households and families.
For more information on the Plastic Packaging Tax please see the UK Government website Increase to Plastic Packaging Tax rates from 1 April 2024 – GOV.UK (www.gov.uk)
What this means for you
If you’re currently utilising packaging that does not include at least 30% recycled plastic, your Plastic Packaging Tax is about to go up. However, with the help of your packaging partner, you have the opportunity now to update your packaging to incorporate PCR content, or explore alternative materials such as glass, aluminium, or paperboard.
How we can help
Our packaging specialists are ready to help answer how this increase may affect your packaging, as well as discuss ways to mitigate this tax. If you’re looking to potentially update your packaging, we offer a wide range of stock packaging options, sourced from hundreds of supplier partners. Available packaging includes a wide range of materials and packaging types. We can also work with you to incorporate higher PCR content into your existing packaging, or explore a fully custom solution. Contact the team to discuss further.
