UK Packaging Waste Regulations - A Quick Guide for 2023

In January 2023 the UK Packaging Waste Regulations were updated. As a result, it’s important to understand whether you need to register, and understand your obligations or you run the risk of incurring a fine.

By now, you should be familiar both with the UK Packaging Waste Regulations, and the newly introduced 2023 legislation regarding Extended Producer Responsibility. However, in case you’re not, you may be wondering what exactly are the packaging waste regulations, how do they affect your business, and what are the recent changes which you need to be aware of?

What are the UK Packaging Waste Regulations?

The Packaging Waste Regulations were first introduced in 1997 (1999 in Northern Ireland). These subsequently became known as the Producer Responsibilities Obligations (Packaging Waste) Regulations 2007.

With growing awareness and concerns around usage, recycling and waste management of natural resources, the Packaging Waste Regulations are designed to introduce a sense of shared responsibility within the industry.

The regulations require “obligated producers” (companies involved in the manufacturing or production of packaging goods meeting certain criteria) to register and pay a proportion of the cost of recovery & recycling of packaging waste.

When packaging has been recycled or exported for recycling, a Packaging Recovery Note (PRN) will be issued by accredited reprocessors for each tonne of packaging material recycled.

Most packaging recycling fits into one of seven categories, which of which has annual recycling targets:

[Source: UK Government/Environment Agency Data].

Who do they apply to and who is responsible?

If your business is based within the UK and meets the following criteria, you must register for Producer Responsibility Obligations (Packaging Waste Regulations) either on the National Packaging Waste Database NPWD or directly with the relevant environment agency, before the 7th April each year.

• Has turnover of more than £2 million (based on your last financial year's accounts), and
• Either produces, uses or sells 50 tonnes or more of packaging or packaging materials (based on the previous calendar year).

If you're part of a chain with franchises businesses or provide licences to other businesses, then any packaging they handle can also contribute towards the 50 tonne threshold.

If you have an annual turnover of more than £1 million, and are responsible for more than 25 tonnes of packaging, then you will also need to register for the Extended Producer Responsibility scheme.

If your annual turnover was between £1 million and £2 million, and you were responsible for more than 25 tonnes of packaging, but less than 50 tonnes, you should only need to register for the Extended Producer Responsibility scheme.

The relevant environment agencies are:

• England - The Environment Agency (EA)
• Northern Ireland - Northern Ireland Environment Agency (NIEA)
• Scotland - The Scottish Environment Protection Agency (SEPA)
• Wales - The Natural Resources Body for Wales (NRW)

There are four types of businesses which are responsible under the Packaging Waste Regulations:

• Raw material manufacturers. These are responsible for 6% of recovery and recycling. These companies include manufacturers of things such as rolls or sheets of polythene, cardboard, paper, etc which are subsequently turned into other products.
• Converters are responsible for 9% of recovery and recycling. This applies to companies who take the raw materials and turn them into another product; such as ourselves who take polythene sheets to create pallet covers or polythene mailing bags for example.
• Packers and fillers are responsible for 37% of recovery and recycling. This applies to most companies who actually place products within packaging.
• Sellers are responsible for 48% of recovery and recycling. This includes retailers such as shops and supermarkets where goods are sold to the end user

How does the process work?

First, you need to check if you meet the criteria to register either as an “obligated producer”, a group of companies which may result in you becoming an obligated producer, or for small packaging producer status.

You must then calculate and provide evidence of the type and weight of packing you use and produce.

The above set of recycling targets are then applied. The resulting calculation determines how much packaging material in weight you are responsible for. You must then commit to recycling that volume of the given material. If you can’t do this yourself then you will require a Packaging Recovery Note (PRN) from an accredited recycling company. This includes if waste is exported for recycling which requires a Packaging Export Recovery Note (PERN).

The price of PRNs or PERNs fluctuate as they are determined by market forces through supply and demand.

Understanding “Packaging” and “Handling” under the legislation

Under the legislation, “packaging” is defined as:
“any material used to hold, protect, handle, deliver and present goods. This includes packaging for raw materials right through to finished goods to be sold or being sold. For example, pallets, boxes, bags, tape for wrapping, rolls, tubes and clothes hangers sold as part of the clothing item.”

“Handling” means that you do all of the following:

• Supply packaging or packaging materials at any stage in a supply chain or to the final user of the packaging
• Carry out one of more activity as defined in the activity list or have these carried out on your behalf
• Own the packaging on which activities are carried out

Packaging which is used within your own business is excluded from the definition and does not need to be included within the calculations.

Small packaging producer status

You can register for small packaging producer status if you:

• Have a turnover of between £2 million and £5 million
• Have a turnover of less than £2 million, but are part of a group which has an obligation to register

It currently costs £562 to register yourself as a small producer.

Penalties for non-compliance

Companies who fail to comply with the regulations, or provide false or misleading information, can face fines or civil penalties.

If you register after the April deadline, you will have to pay a late fee of £110.

Minor changes can be made at no cost during the registration year. However, changes to obligations or handling data can cost £220 for each resubmission.

You must tell your environmental regulator (such as the Environment Agency) within 28 days if you need to update your business information such as company name or address. If you cease trading or enter insolvency or administration, you must inform your environmental regulator immediately.

You can find out more about the official environmental regulators for England, Wales, Scotland or Northern Ireland here.

If you become a member of a producer group, or stop being a producer, you need to cancel your registration immediately.

How can companies reduce their packaging waste?

Naturally the overall aim for the industry is to look for ways to reduce our consumption of raw materials, and increase ways in which we can use packaging in smarter ways to reduce any environmental impacts.

There are multiple ways to achieve this. One is looking for ways we can improve the use, reuse or recycling of packaging in a circular economy.

Another way is to use advances in technology which allow us to create environmentally smarter packaging solutions. For example, our IP Plant film is PAS2050 certified and is manufactured using sugarcane.

Similarly, advances in technology mean we can now provide stronger materials which use less resources and create less waste than traditional products. For example, our IP Performance Film (IPP) is a high performance, co-extruded film which provides greater strength, durability and tear resistance which means you need less of it and it consumes less raw materials during its manufacture.

Discover how to reduce your packaging waste, improve efficiency and reduce costs

As experts in polythene packaging, we understand how important it is to be able to reduce costs and improve efficiency whilst not compromising on the quality of your packaging.
Therefore, from more efficient lay-flat tubing solutions to plasterboard covers, or pallet wrap to aggregate sacks, we can help. Contact us today.