British Glass comments on Defra’s commitment to reassess EPR fees

Sheffield, UK - British Glass, the representative body for the UK glass industry, alongside key stakeholders from across the glass supply chain — including manufacturers, trade associations, drinks brands, and retailers — recently met with Defra’s Extended Producer Responsibility (EPR) team to discuss the potential impacts of the proposed EPR fees on glass packaging.

British Glass extends its thanks to Defra officials for hosting these important discussions and for their collaboration on this critical issue for the UK glass industry and wider supply chain. During the meetings, Defra acknowledged the concerns raised by industry leaders and committed to reassessing the EPR fees structure, by taking packaging volume into account in the revised methodology. Defra has pledged to publish revised fees by the end of September, which we hope will provide a reduced glass EPR fee that is supportive of circular glass recycling and will not result in material switching. 

British Glass also raised concerns about the timeframes for implementing EPR and DRS which will lead to glass beverage packaging paying EPR fees from 2025, but the competing materials (metal cans and plastic bottles) are exempt from EPR fees. This will lead to uncompetitive market conditions for nearly three years (Jan 2025 to October 2027) for glass beverage packaging, which will lead to material switching and a significant loss of market share for glass packaging. We estimate that metal and plastic beverage packaging will avoid around £500m in EPR fees between 2025 and October 2027, giving them a competitive advantage in the beverage market. Metal and plastic beverage packaging will be liable for DRS costs, but these costs have not been decided yet and therefore cannot be currently considered. 

We believe that the methodology and the difference in EPR and DRS timescales need to be  addressed to enable this to be a material neutral policy that won't result in an uncompetitive market for glass.

Speaking on the need for a material-neutral EPR, British Glass Technical Director Nick Kirk said “EPR is designed to incentivise producers to design more sustainable circular packaging and reduce waste. However, if the system disproportionately penalises materials like glass, it risks driving producers towards less  circular options that may be lighter but more environmentally harmful over their lifecycle, all in the name of reducing costs.

“We’re pleased that Defra has recognised this, and we look forward to receiving the revised EPR fees following a methodology revision later this month; without a change in the methodology used to calculate the fees, the fee change is likely to be modest”

Furthermore, Defra indicated that potential reforms to the Simpler Recycling policy are under consideration. These reforms should aim to ensure that the glass collected through household and commercial recycling is of higher quality and value. Improving the quality of collected glass would benefit the entire supply chain, and increase the value of collected glass, which in turn would reduce the EPR fee, enhancing the sustainability of glass packaging and supporting the circular economy.

British Glass is looking forward to further details of the government’s Circular Economy, as it is hoped that all the waste policies will be aligned to drive reuse and recycling.

British Glass remains committed to working closely with Defra and all industry partners to ensure that the EPR system supports both environmental and economic objectives, safeguarding the future of the UK’s glass industry.

Quotes from glass manufacturers present at the DEFRA meeting: 

“We are extremely concerned about the impact of the proposed EPR fees for glass packaging, which will have damaging consequences on the whole UK Glass packaging sector. We know that many of our key customers have similar concerns. We fully support an urgent review, which addresses the outdated impact assessment, a flawed methodology and the misalignment of the timescales between EPR and DRS.”

Gregor Methven, Managing Director, Ardagh Group UK

“In my view glass is the most sustainable packaging material on the planet. However, these EPR fees, if not changed, will put huge pressure on drinks brands, incentivise much less sustainable packaging and fuel inflation for consumers.

 “I’m optimistic that common sense will prevail, and that Government will work with the industry to ensure fairness amongst packaging materials.”

Sean Murphy, Managing Director of UK container glass manufacturer and bottler, Encirc