Government poised to intervene over glass EPR costs, according to reports

 

Wales DRS

The UK government is preparing an intervention over the impact of packaging extended producer responsibility (pEPR) on glass manufacturers and hospitality businesses, according to reports by The Grocer.

Defra has invited industry representatives to a meeting on Wednesday 11 November to outline a proposed solution, the publication reported. The talks follow warnings about the scheme’s costs and the future of UK glassmaking.

Details of any intervention remain unconfirmed. In a statement reported by letsrecycle.com, a Defra spokesperson said: “This government is alive to the concerns of the glass industry, and ministers are working on ways to reduce those pressures.”

The department declined to comment on leaks.

British Glass has called for an immediate 75% reduction in glass fees while the scheme undergoes a wider review. The trade body argues that charging by weight encourages businesses to switch away from heavier glass packaging, weakening demand for UK production and threatening investment and jobs.

The concerns come as Ardagh proposes closing a furnace at its Knottingley site, with around 80 roles potentially affected, according to British Glass.

In its third-quarter results, published on 22 October, Ardagh said the proposal formed part of a European capacity review, alongside a proposed furnace closure at Holmegaard in Denmark. The company cited reduced customer demand and surplus production capacity, and said customers could continue to be supplied from its other facilities.

Responding to the Knottingley proposal, British Glass executive director Nick Kirk said: “The sector is dealing with reduced demand, rising costs and increasing competitive pressures.”

Kirk warned that lost furnace capacity would be difficult and expensive to replace, and called for measures to support domestic manufacturing and investment.

Hospitality businesses have also raised concerns that EPR adds costs alongside their existing commercial waste collection bills, The Grocer reported.

However, industry sources quoted by the publication warned that reducing glass fees could increase charges for other packaging materials. They also suggested that intervention might not take effect until the scheme’s third year.

The UK-wide pEPR scheme transfers the cost of managing household packaging waste from taxpayers to obligated packaging producers. PackUK, the scheme administrator, collects producer fees and makes payments to local authorities to fund those services.

From 2026/27, fees are adjusted according to recyclability, with more recyclable packaging attracting a lower charge per tonne than harder-to-recycle packaging within the same material category.

PackUK’s illustrative second-year figures put glass fees at £185 per tonne for green-rated packaging, £205 for amber and £245 for red. These are provisional planning figures and remain subject to changes in the underlying data.

PackUK’s operational plan says it intends to issue producers’ notices of liability for 2026/27 by the end of November.

Separately, PackUK expects to seek evidence in early 2027 on additional factors that could influence future EPR fees, according to the Foodservice Packaging Association. Reporting from its November environment seminar, the association said recycled content and overpackaging were among the areas under consideration, although no decisions had been taken.

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