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GOVERNMENT CONFIRMS IT WILL COVER EPR FUNDING GAP FOR FIRST YEAR

Further to our member update on 12th February PackUK has now confirmed that the UK Government has agreed to close the funding gap for Year 1 of the Extended Producer Responsibility for packaging (pEPR) scheme to ensure local authorities receive the full level of funding committed under pEPR.

Members can read this latest announcement in full here.

Note: this is a one-time intervention by the UK Government to help mitigate increasing costs for producers and maintain stability during the first year of the scheme.

As you will recall, earlier this month PackUK announced that they had identified a shortfall in the funding originally calculated for Year 1 of pEPR. More accurate packaging data had been resubmitted by producers, resulting in lower total packaging tonnage than previously submitted.

Under normal circumstances, this would have required a recalculation of producer per tonnage fees. However, PackUK state that they recognise that packaging EPR is a significant change in how packaging is managed, and there has been a high number of resubmissions in the first year as businesses familiarise themselves with new requirements. Therefore, there will be no change to disposal fees for Year 1 of the Extended Producer Responsibility for packaging (pEPR), which will remain as outlined in producers’ Notices of Liability in October 2025.

Producers who resubmitted their packaging data, and had it accepted by the regulators, will have their approved tonnages reflected in an updated Notice of Liability. PackUK plans to issue updated NoLs by the end of March.

PackUK state that as familiarity with the scheme grows, the scale of data corrections is expected to reduce significantly in future years. Also, they are taking steps to improve data stability and prevent late adjustments in future years. This includes bringing forward the deadline for producer data submissions and using updated Year 1 data to improve guidance and calculations, so businesses can plan with greater confidence.

If you have any questions, please do feel free to contact Deniserion@bfff.co.uk or if you prefer, the PackUK service desk directly on PackUKEngagement@defra.gov.uk

In the meantime, we’re keen to understand how things are panning out for members since PackUK issued the first Notices of Liability (i.e. invoices) 

  • Were invoices more/less than or as expected?
  • Have you experienced any issues, or have concerns?

Your feedback is essential and will assist us in future discussions with government representatives.

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