The UK has introduced two major environmental regulations aimed at reducing packaging waste and improving recycling: the Plastic Packaging Tax (PPT) and the Extended Producer Responsibility (EPR) scheme. These initiatives place greater responsibility on businesses to manage the environmental impact of the packaging they manufacture, import or use. While both share a common goal of promoting sustainability, they apply differently depending on your role in the supply chain, and failing to understand them could result in penalties and unexpected costs.
At Nordens, we understand these regulations can seem complex, which is why we are here to break them down for you and help you stay compliant.
What is the Plastic Packaging Tax (PPT)?
Introduced in April 2022, PPT applies to businesses that manufacture or import plastic packaging containing less than 30% recycled content. It also applies if your business places more than 10 tonnes of plastic packaging on the UK market each year. Businesses falling under these criteria are required to:
- Register for PPT with HMRC
- Report their packaging data accurately
- Pay tax per tonne of qualifying plastic packaging
Those most affected include packaging manufacturers, businesses importing goods in plastic packaging and online retailers, even if they did not produce the packaging themselves. Essentially, if you are using or importing plastic packaging without meeting the recycled content threshold, you will likely need to comply with PPT.
What is Extended Producer Responsibility (EPR)?
EPR takes environmental responsibility a step further by making businesses financially accountable for the cost of recycling and disposing of the packaging they place on the market. Unlike PPT, EPR applies to all types of packaging, not just plastic. The scheme began rolling out in 2023 and full recycling fees will start from October 2025, but businesses need to act now. Many are already required to collect detailed packaging data, even if they do not yet have to report or pay fees.
You may be affected by EPR if your business:
- Sells goods in packaging
- Imports pre-packaged products
- Uses packaging to deliver goods
- Operates as an online retailer (even if you did not manufacture the packaging)
EPR fees will be calculated based on the weight, material and recyclability of your packaging. Failure to prepare now could lead to significant costs and compliance risks in the near future.
PPT vs EPR: What is the Difference?
While both schemes aim to reduce environmental impact, they work in different ways. PPT is focused on plastic packaging and targets businesses that fail to include enough recycled content. In contrast, EPR applies to all types of packaging and shifts the financial responsibility for recycling from the government to businesses. Here is a quick comparison:
| Feature | PPT | EPR |
|---|---|---|
| Focus | Plastic packaging only | All packaging types |
| Main Trigger | Less than 30% recycled content | Packaging placed on UK market |
| Who is Responsible | Packaging producers and importers | All producers and online retailers |
| Cost Responsibility | Tax per tonne | Recycling fees based on weight and material |
Why These Rules Matter for Your Business
If your business sells goods in packaging, imports pre-packaged products or uses packaging for deliveries, you could be affected by PPT, EPR or both. Non-compliance carries risks such as:
- Financial penalties for failing to register or report
- Unexpected operational costs when full EPR fees apply
- Reputational damage, as customers and regulators expect higher sustainability standards
Taking action now gives your business time to prepare, control costs and stay compliant.
How Nordens Can Help
At Nordens, we know that navigating new compliance rules can feel overwhelming, especially when you are focused on running your business. Our team of experts can:
- Review your packaging processes and determine your obligations
- Assist with PPT registration and reporting
- Implement systems for EPR data collection to keep you ahead of deadlines
- Provide strategic advice on reducing costs and improving sustainability
Call us on 020 8530 0720 or email us at enquiries@nordens.co.uk to speak with one of our specialists today.
Let us keep your business compliant, sustainable and one step ahead.
