Steel and aluminium chiefs have warned that “disparity remains” despite the government slashing the tax on containers made from the materials.
PackUK, which runs the controversial extended producer responsibility (EPR) scheme for packaging, last week revealed the final base fees under the initiative.
In-scope suppliers of aluminium containers will be charged £266 per tonne placed on the UK market, while protective steel items will be taxed at £259 per tonne.
This is down from £435 and £305 respectively in illustrative fees outlined last December. But Jason Galley, director and chief executive of the Metal Packaging Manufacturers Association, said the reduction didn’t go far enough.
Glass will be charged at £192 per tonne and paper and card at £196 per tonne, while plastic will be subject to a £423 per tonne levy.
“Fundamentally the disparity remains when the base fees are translated into real-life product packaging, resulting in the financial incentive to switch to lighter-weight yet harder-to-recycle materials,” warned Galley.
“The unique role of metal to support UK circular economy goals is still undervalued within the EPR scheme. Businesses making the most circular, highly-recycled packaging are under threat.”
PackUK said the fees were calculated using packaging tonnages reported by producers and waste management costs cited by councils. “The methodology has been rigorously tested with stakeholders including producers, compliance schemes and local authorities,” it added.
From next year, a ‘modulation factor’ of 1.2 will be applied to a complex equation to adjust fees according to the recyclability of material used. This will rise to 1.6 in 2027 and 2.0 in the following year as the scheme administrator looks to gradually encourage more sustainable packaging choices.
