Understanding the new plastic packaging tax

A simple guide to understanding the new plastic packaging tax (PPT) is now available.

Produced by HLP Klearfold, the guide includes a traffic light system to show who doesn’t have to pay the tax (green), who is exempt (amber) and who is eligible (red).

PPT, which came into effect on 1 April 2022, applies at a rate of £200 per tonne to plastic packaging that has been manufactured or imported into the UK and doesn’t contain at least 30% recycled plastic.

The tax is designed to provide an economic incentive to use more recycled plastics in production and packaging, as well as meet customer demand for products that are easier to recycle – many mixed material packaging solutions such as cardboard cartons with plastic windows or hangers don’t currently meet that remit.

Research shows that plastic packaging currently accounts for almost 70% of plastic waste, and interest in the tax rose dramatically in the three months before its introduction, with a 23% rise in searches for ‘plastic packaging tax guidance’.

The Guide to Plastic Packaging Tax is split into five sections:

  why it’s being introduced

  calculating the recycled plastic content of plastic packaging

  the traffic light system to decide eligibility

  information on what needs to be reported to HMRC,

  and information on further support.

HLP Klearfold produces eco-friendly printed plastic and acetate packaging, and already offers packaging which is 100% recycled consumer waste and is 100% recyclable.

Amanda Stokes, Business Development Director at HLP Klearfold, said: “The introduction of the plastic packaging tax is a necessary step towards more sustainable packaging.

“As with any new tax or regulation, it takes time for businesses to understand what exactly is going to happen and how it will affect them, but there is no time to lose when it comes to environmental taxes.

“At HLP Klearfold, we are committed to the zero waste revolution, and that involves ensuring businesses are educated on issues such as plastic waste.

“We hope that businesses will find our easy-to-use guide to the new plastic packaging tax insightful, informative and actionable.”

Details of the guide are available here.

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