What Manufacturers Need to Know About EPR

Sustainability regulations are tightening across the UK, and for packaging, this is represented by Extended Producer Responsibility (EPR), pushing retailers and manufacturers to rethink their packaging or face additional costs.

EPR is designed to shift the responsibility of dealing with packaging waste to the companies that produce or handle it. This means that businesses are now obligated to manage the full lifecycle of their packaging, from production to disposal. This is a move aimed at reducing the environmental impact of packaging waste and encouraging the use of sustainable materials. Those who don’t comply or provide inaccurate reporting could be hit with large fines.

How EPR Fees Are Calculated

Only businesses that handle over 25 tonnes of packaging per year and have a turnover of more than £1 million will be subject to EPR regulations.

The fees under EPR are based on several factors, such as the type of material used in the packaging, its weight, and the amount of packaging a company places on the market. Different materials carry different recycling costs, and the fees are reflective of the environmental impact. For example, packaging made from easily recyclable materials like paper or cardboard will incur lower fees than materials like mixed plastics.

Here’s a breakdown of the illustrative base fees for 2025-2026:

*Table from Government website – https://www.gov.uk/government/publications/extended-producer-responsibility-for-packaging-illustrative-base-fees/extended-producer-responsibility-for-packaging-illustrative-base-fees

When Do EPR Fees Apply?

The EPR regulations apply from the moment packaging is placed on the UK market. For retailers, this means that the packaging used to deliver products to consumers or other businesses will now be subject to these fees. EPR will impact manufacturers, e-commerce businesses, wholesalers, and any retailer that plays a role in distributing products.

Fees will typically apply annually based on the volume and type of packaging handled by the business. Companies will need to submit reports detailing their packaging use and pay fees that cover the environmental costs of collecting, recycling, and disposing of their packaging waste.