How to Prepare for Plastic Packaging Tax

New Plastic Packaging tax will be implemented from 1^st April 2022 which is designed to encourage the use of recycled rather than new plastic within plastic packaging. This tax is predominately focused on maximising the recyclability of plastic and reducing the volume of plastic in landfill. If you manufacture or import plastic packaging you need to start planning and preparing for the plastic packaging tax before it’s too late.

What is Plastic Packaging Tax? (PPT)

Plastic packaging tax will simply result in higher taxes to any business manufacturing plastic packaging, or importing plastic packaging which does not contain at least 30% recycled plastic. The rate of PPT will be £200 per metric tonne of plastic packaging (which contains less than 30% of recycled plastic).

Who will Have to Pay?

PPT will predominately be paid for by the manufacturer of the packaging if components are produced within the UK. Unfortunately, it is expected the impacts will be experienced far and wide, with the assumption that business owners may pass increase in prices on to consumers as new tax fees are incurred.  

What items will not be chargeable for PPT?

There are some items which are exempt of plastic packaging tax, we have summarised the key categories they fall into below:

• Any item which has 30% or more recycled plastic content
• An item which is manufactured or imported for medicine packaging
• Items which are used as transport packaging to import products into the UK, such as on aircrafts

How to Prepare for the Introduction of Plastic Tax

If you are using plastic packaging, which contains less than 30% recycled plastic it is time to start researching alternative dependable packaging materials which are suited to your requirements. There’s no denying we have all experienced a surge in paper-based alternatives to plastic recently. For example:

• Single-use plastic straws replaced with paper straws
• Single-use plastic bags replaced with paper bags, as seen in Morrisons, or reusable bags
• Single-use plastic cartons replaced with sustainable and recyclable paper-based cartons
• Plastic food containers replaced with reusable boxes or paper-based sealed alternatives

The Rise of Sustainable Packaging

The introduction of PPT of course plays a role in the rise of sustainable packaging and label materials which we outlined in a recent blog; however sustainable packaging is not new. In fact, sustainable packaging has been one of the fastest-growing trends in the packaging world for years and is expected to grow at an annual rate of 6% between 2020 until 2027 according to Grand View Research. With those impressive figures, it is clear that being offered sustainable packaging is high up the agenda for consumers along with other crucial factors including: food safety, ease of use, durability, appearance and label information.

Chat to our Team

If you’re looking to replace your plastic packaging with paper-based alternatives then speak to our team about EcoPack. This revolutionary paper-based product is the perfect alternative to avoidable plastic and offers great durability for numerous uses including sandwich skillets, sealed bags, pouch applications and more.

*Photos by John Cameron & Maria Vernigora from Unsplash.