In the UK Budget 2020, the government announced that UK retailers and businesses will face a new plastic packaging tax from April 2022.
The Chancellor of the Exchequer Rishi Sunak said companies will pay an excess £200 per tonne of plastic packaging used if it’s made up of less than 30% of recycled plastic, with the intention of increasing the usage of recyclable plastic and reducing carbon emissions in the UK.
Rishi stated that the tax is projected to increase usage of recyclable plastic by 40% in the coming years.
Will Broome, CEO and founder of retail tech company Ubamarket, said it was extremely encouraging to see the government responding to growing concerns surrounding the quantity of plastic waste and resulting carbon emissions in the retail sector. He said: “Consumers and retailers alike are already aware of the issue, and 97% of retailers have already announced their efforts to make tangible, sustainable changes to their business to meet consumer demand.
“However, now that the government is introducing a tax for businesses and retailers, dedicated to creating a sustainable future, it is clear that sustainability is no longer just a passing trend or a hashtag – it is now the future of retail, and must become one of the cornerstones of every retailer’s plans for development in the UK.”