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UK Packaging EPR fees for 2026/27 just got a “traffic-light” twist – and it could change what your pack costs overnight

The UK’s packaging EPR scheme is about to get a lot more opinionated.

In December 2025, government published illustrative “Year 2” waste disposal fees for 2026/27 and, for the first time, they’re shown with modulated red/amber/green rates linked to recyclability (the RAM methodology). The message is simple: packaging that’s easier to recycle should cost less; packaging that causes problems should cost more.

And while these are illustrative (not final), the figures are detailed enough to act like a weather forecast for your 2026 budgets — and for your packaging spec.

Extended Producer Responsibility graphic

What’s actually been published?

The update is the best current estimate of Year 2 fees (April 2026 to March 2027). Government says confirmed Year 2 fees are expected in June 2026, once more producer data is in and checks are done.
The “headline” numbers brands will notice first

The illustrative table puts plastic at: £415/tonne (green), £455/tonne (amber), £545/tonne (red).

Other materials are shown too (glass, paper/board, aluminium, steel, wood, etc.), but plastic is where most FMCG and food brands will feel changes quickest.

The traffic-light multipliers (this is the bit that makes it newsworthy)

  • Red = +20% (set at 1.2× the amber fee)
  • Amber = baseline
  • Green = discount (illustrative ~9%) — and the exact discount can move depending on what producers report overall

In plain English: you’re not just paying for “plastic” anymore — you’re paying for how recyclable that plastic pack is judged to be.

Why this matters beyond “another compliance update”

1) EPR is already being blamed for pushing prices up

Food and drink manufacturers have been vocal about EPR costs feeding into shelf prices, with public debate turning it from “policy detail” into “real-world inflation pressure.” 

2) The admin side has had teething problems

There were reports in late 2025 of hundreds of businesses being double-charged due to a technical issue (with Defra cited as saying 484 businesses were affected).
That kind of story makes finance teams pay attention — and it’s another reason businesses want fewer surprises in 2026.

3) Parliament’s briefing spells out the direction of travel

A House of Commons Library briefing notes that year one uses flat base fees, but from 2026–27 fees are adjusted based on recyclability using a red-amber-green system.

The practical takeaway: the cheapest packaging might become the most boring (and that’s not a bad thing)

If you want a pack that’s more likely to land “green” (and avoid “red”), the winning approach is usually the old reliable one:

Aim for “simple, standard, sortable”

Think:

  • mono-material bottles and closures where possible
  • clear or light colours rather than heavy dyes
  • labels/sleeves that don’t hide the bottle or cause sorting issues
  • avoiding extras that make recycling harder (over-laminates, mixed materials, tricky adhesives)


You don’t need to reinvent the wheel — you need to stop bolting things onto the wheel that make it harder to recycle.

Recycling Plastic Bottles in metal cage

“How do I reduce my bill?” A quick checklist packaging buyers can act on now

Here are moves that typically help a pack score better under recyclability rules (and are the sort of tweaks you can spec with a supplier without redoing your whole range):

  1. Keep it mono-material where you can
    A single primary plastic type with compatible components is usually easier to sort and recycle than mixed materials.

  2. Watch the label and sleeve choices
    Full-body sleeves and high-coverage labels can be a hidden problem if they interfere with sorting or identification.

  3. Don’t let the closure be the weak link
    Closures, liners, pumps and trigger sprays can drag an otherwise good bottle into “more complex” territory.

  4. Reduce unnecessary components
    The fewer bits you have, the fewer chances there are for something to be classed as hard to recycle.

  5. Get your data house in order early
    These fees lean heavily on reported tonnages and classifications — and government explicitly notes the figures can change as more data is submitted and checked. 

What to do next if you sell packaged goods in the UK

If your business is likely to be obligated under EPR, treat the December 2025 publication like an early warning:

  • Use the illustrative rates to stress-test 2026 budgets (especially if you’re heavy on plastic packaging).

  • Review your packaging specs now and identify “easy wins” that reduce recyclability risk.

  • Avoid being caught by the June 2026 confirmation when changes are slower and costs are locked in.

If you need tailored guidance or additional information, click Contact Us below and our team will be happy to help.