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Government Packing Legislation Changes: Explained

March 24, 2025 1:34 pm

Along with the usual price changes brought about by changes in duty, there are additional factors that may be effecting the price of the products you buy. The government, in its infinite wisdom has seen fit to introduce legislation that covers packaging and soft drinks. This means that price increases brought around at this time of year may hit worse than previous years.

In addition to the widely discussed Alcohol Duty changes, three key government legislation updates are impacting cost prices this year: Extended Producer Responsibility (EPR), Packaging Waste Recovery Notes (PRNs), and the Soft Drinks Industry Levy (SDIL). These changes have not been communicated clearly by the government, so we want to provide you with a clearer understanding of what they mean and how they may affect your pricing.

Below, you’ll find details on each of these changes, along with clarification on whether they have already been factored into your pricing or will be implemented soon.

Extended Producer Responsibility (EPR)

📅 Effective from 1st April 2025

EPR is a new legislation designed to encourage greater responsibility for the entire lifecycle of packaging, including its disposal. Because this legislation comes into effect on 1st April 2025, brand owners have not yet included this cost in 2025 pricing and are now implementing it as an additional price increase.

👉 You will see this increase reflected in your pricing from 1st April 2025.

Packaging Waste Recovery Notes (PRNs)

📅 Effective from 1st January 2025

From this year, full liability for PRNs has shifted to producers. However, the majority of brand owners have already factored this cost into their 2025 pricing, meaning you will not see an additional price increase for PRNs.

Soft Drinks Industry Levy (SDIL)

📅 Annual increases starting 1st April 2025

As announced in the October Budget, the Soft Drinks Industry Levy rates will increase annually over the next five years to account for 27% inflation between 2018 and 2024. The first of these annual increases takes effect on 1st April 2025.

Most brand owners have already included this increase in their 2025 pricing, so you will not see a separate price increase for SDIL.

What is EPR? EPR is a new regulation designed to make producers responsible for the collection, management, and recycling of packaging waste.

  • Encourages recyclability – Fees are adjusted based on how recyclable a material is.
  • Reduces waste – The goal is to minimize unnecessary packaging and improve material quality.
  • Funds waste management – Fees collected go towards household waste collection, recycling, and disposal.

Key EPR Details

📅 Effective Date: 1st April 2025

♻️ Materials Affected: Glass containers, Tetra Pak (and equivalents), and all other household packaging (e.g., shoe boxes, white goods packaging). Aluminium cans and plastic bottles are exempt, as they will fall under the Deposit Return Scheme from October 2027.

💰 Fee Structure: Fees are based on both weight and volume, meaning glass producers will be most affected due to the material’s heavier weight.

For further details, please visit: Government Guidance on EPR

If you have any questions regarding these changes, please don’t hesitate to reach out.

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