UK government considers reassessing EPR scheme by UKHospitality

UK- The Extended Producer Responsibility (EPR) scheme, a policy that holds producers responsible for the entire lifecycle of their products, including disposal, is under review by the UK government.

UKHospitality has announced that the government has agreed to investigate a new approach to this scheme.

Concerns about the classification of specific packaging within the hospitality industry as household waste have led to this decision.  

For most hospitality establishments, the EPR scheme has led to dual expenses for recycling. They not only face an EPR charge from suppliers but also pay for commercial waste disposal. This additional financial burden could lead to increased operating costs and reduced profitability for these businesses.

After a recent consultation with Defra Minister Mary Creagh, it was agreed that the department would work together with the sector to identify a practical solution.

According to the proposals that UKHospitality submitted to the government last year, this initiative aligns with it.

The trade association expects that a solution can be proposed for the EPR scheme’s second year.

UKHospitality, a leading trade association in the hospitality industry, has been at the forefront of efforts to ease the financial burden on its members caused by the EPR scheme. They have been actively engaging with the government and other stakeholders, leveraging their influence to find a practical solution to this issue.

Recommendations have been presented by the organisation and directly submitted to the Secretary of State in collaboration with a coalition of leading businesses.

According to UKHospitality, Concerns have also been raised to the Prime Minister and Chancellor due to “Defra’s inaction”.

One of the suggestions made by UKHospitality is that EPR charges should be exempt for packaging supplied directly to hospitality businesses and exclusive wholesalers, potentially providing significant relief and a glimmer of hope for the industry.

Additionally, it proposed a mechanism to ensure that EPR fees are only applicable to the volume of packaged products sold for off-premises consumption, providing a sense of security and reassurance to the industry.

UKHospitality chief executive Kate Nicholls said: “I’m pleased that Defra is finally properly engaging with this issue and acting on our concerns.”

“UKHospitality has been campaigning on this issue for over a year and warning of the unfair and costly impact it will have on hospitality businesses.”

“We have put forward clear proposals that can solve this issue, which include an exemption for closed-loop hospitality businesses, and I hope that we can work at pace with the Government to put something in place for the second year of the scheme.”

“Of course, this is not an ideal timeline for businesses affected this year. In light of the government acknowledging that there is a problem that needs solving, I urge hospitality suppliers to recognise this and not pass additional EPR costs through to operators.”

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