New plastic tax will impact all UK meat businesses
Government is consulting on a proposed new Plastic Packaging Tax which could see meat companies paying considerably more for packaging that contains less than 30% recycled material. That includes all plastic films, primal bags and ‘flexibles’ for food contact uses, none of which are currently allowed to have any recycled content.
Firms that import packaging will have to pay the tax direct to HMRC while firms sourcing from UK manufacturers will still pay the tax indirectly through higher prices. Another twist is that any packaging for products destined to be exported from the UK will be exempt from the tax. What is certain is that, in addition to the tax, there will be extra administrative cost to track all this, particularly for firms with diverse product lines and complex supply chains.
We are discussing options with Government to phase in the tax to allow new innovation in plastic films to be commercialised and approved for use. BMPA’s Technical Policy Manager, Anna Proffitt has produced a condensed briefing note on the new tax for members.
