NEWS: Chancellor's new 'plastic tax'

The Chancellor today unveiled a new plastic tax in his budget, starting in April 2022.

Packaging with less than 30% recycled plastic will face a charge of £200 a tonne.

In the official documents released alongside Rishi Sunak's budget it says: "As announced at Budget 2018 and following consultation in spring 2019, the government will introduce a new Plastic Packaging Tax from April 2022 to incentivise the use of recycled plastic in packaging.

"The Budget sets the rate at £200 per tonne of plastic packaging that contains less than 30% recycled plastic.

"This will apply to the production and importation of plastic packaging.

"The government will keep the level of the rate and threshold under review to ensure that the tax remains effective in increasing the use of recycled plastic.

"The government will also extend the scope of the tax to the importation of filled plastic packaging and apply a minimum threshold of 10 tonnes of plastic packaging to ensure the smallest businesses are not disproportionately impacted.

"The Budget also announces the launch of a further consultation on the detailed design and implementation of the tax, which includes consideration of an exemption for certain types of medical packaging."

For more about the budget

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