The UK government has confirmed that the new Plastic Packaging Tax (PPT) will come into force on 1 April 2022.

The PPT will be charged at a rate of £200 per metric ton of chargeable plastic packaging.

 

The aim of the tax

The plastic packaging tax is designed to encourage the use of recycled rather than new plastic within plastic packaging. It is hoped that this will in turn stimulate increased levels of recycling and collection of plastic waste, diverting it away from landfill or incineration.

 

What will it apply to?

It will apply to plastic packaging components manufactured in or imported into the UK.

Plastics covered by the tax include bioplastics, including biodegradable, compostable, and oxo-degradable plastics.

 

Recycled plastic

The tax will not be chargeable on plastic packaging which has 30% or more recycled plastic content, or any packaging which is not predominantly plastic by weight.

 

Exemption

There will be an exemption for manufacturers and imported into the UK, whether the packaging is unfilled or filled (for example plastic bottles filled with drinks).

Free initial consultation

Craig Walker

Tax Director, Sheffield

0114 266 7141

[email protected]

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