What Is The 2022 Plastic Packaging Tax?

You’ve probably heard about the Plastic Packaging Tax, which will be implemented in the UK on April 1, 2022, if your company uses packaging.

In other words, the tax will apply to any plastic packaging that doesn’t include at least 30% recycled plastic content. This will cost £200 for every metric tonne of plastic used.

How Much Is The Tax On Plastic Packaging?

The plastic packaging tax is being implemented by UK HMRC and will go into effect on April 1st, 2022. Both UK makers and importers of plastic packaging will be impacted by it because it would encompass plastic packaging items that do not contain at least 30% recycled material. This also applies to packaging that is imported into the UK that has already been “filled.”

Businesses and products that fall within the taxes. purview will be assessed £200 per metric ton of plastic used in packaging.

The tax on plastic packaging, which applies to plastic packaging that does not contain at least 30% recycled material which will go into force on April 1st, 2022.

What Types Of Plastic Packaging Are Taxed?

There are two varieties of plastic packaging that are taxable:

1. Supply-chain use of plastic packaging

2. Single-use plastic packaging for consumers

Any plastic that has reached its final manufacturing stage and contains less than 30% recycled plastic, that is referred to as finished plastic packaging (if a packaging item is made from multiple components. Each component should be calculated separately.)

What Is The Purpose Of The New Tax?

An estimated five million tonnes of plastic are used annually in the UK by plus printers. with packaging accounting for the majority of this amount. Only a small portion of this is recycled, so the rest either ends up in landfills or is exported, (although large importers of waste, such as Malaysia and China, are beginning to limit this).

The UK government is attempting to expand home capacity for recycling ,and reuse of plastic garbage in order to address this issue. However, doing so requires money.

The new fee is intended to give companies a strong financial incentive to use recycled plastic in their plastic packaging. Theoretically, this should enhance demand for recovered plastic materials and encourage improved recycling and trash collection rates for plastics. Additionally, this will prevent it from being disposed of in a landfill or burned.

Increased investment in the infrastructure needed to support recycling should follow an increase in demand for recycled plastic materials.

Tax Exemptions For Plastic Packaging In 2022

The Plastic Packaging Tax does not apply to several forms of plastic packaging.

  •  Plastic containers for pharmaceutical purpose (e.g. prescription medication strips)
  • Plastic packaging that will be used for a purpose other than packaging
  •  Plastic packaging for long-term use (such as first-aid boxes, eyeglass cases)
  • Packaging that is integral to the items (i.e., the goods cannot be utilised without the component).

What Is The Tax Obligation?

There will be a tax of £200 per metric tonne of plastic used in the packaging for companies and/or packaging that qualifies (details are provided later in this guide).

However, if the cost of recycled materials drastically increases, this could alter (due to increased demand not matched by supply). As a result, plus printers would become more appealing. which might call for an increase in the tax until equilibrium is reached.

What Are The Political Packaging Tax’s Policy Goals For 2022?

The government wants to accomplish the following through carrying out the aforementioned:

1. Over the course of 2022–2023, approximately £235 million in taxes will be collected from the 20,000, so plastic packaging makers and exporters who are scheduled to be subject to the levy. As single-use plastic packaging is phased out, this will gradually decrease to £210 million by 2025 or 2026.

2. Up to 40% more recycled plastic could be used in packaging. saving up to 200,000 tonnes of carbon annually and equal to half a megatonne of recycled plastic.

What Packaging Is Compliant?

The new tariff effectively applies to two forms of packaging: single-use plastic packaging for consumers and supply-chain plastic packaging.

Any single-use product intended for domestic users and consumers is referred to as having single-use consumer packaging. One or more of the following five tasks must be performed by it: delivery, presentation, handling, protection, or containment. Simply put, rather than being used in the supply chain, these products will be used by consumers.

Contrarily, plastic packaging made for the supply chain is meant to move the goods from the producer to the consumer. You can use this substance either by itself or in conjunction with other things. Similar to that, it needs to follow one or more of the previous five.

The Standard For Determining What Is Deemed “Plastic Packaging” For Taxation Is Unclear

Manufacturers and merchants have questioned what is covered by the legislation from the beginning/ because there are many complexities around what counts as plastic packaging and what doesn’t.

Lipstick is one example; the government has stated that while the mechanism and packaging of lipstick custom boxes with logo are exempt from the tax, the lid is not. Similar rules apply to mascara wands, which are not taxed but the mascara lid is.

Toothpaste is a perplexing example. When toothpaste is packaged in a plastic pump, it is not subject to tax; nevertheless, toothpaste tubes are.

Additionally, it’s not clear how some items, like plastic foam that varies in size and weight over time, should be accounted for in terms of the tax.

What About Packaging Made Of Recycled Plastic?

According to the general norm, any plastic packaging that does not have at least 30% recyclable material will be taxed.

The 10-tonne threshold for packaging you make or import in a 12-month period still applies to plastic packaging. that contains 30% or more recycled plastic, it is crucial to note. As a result, you still need to document it.

How About Goods Made Of Multiple Materials?

A variety of materials will be used in many packaging items. Do these therefore qualify for the plastic packaging tax?

The quick answer is that the entire item will be regarded as plastic packaging. if plastic is the single greatest material by weight.

For instance, a pack containing 4 grams of plastic, 3 grams of aluminum, and 3 grams of paper would be regarded as having 10 grams of plastic in it and subject to taxation as such.

Use Retail Packaging To Escape The Plastic Packaging Tax

All of our boxes for retail packaging, plus printers uk For Retail are made from high-quality cardboard, so you can easily evade the packaging tax By using our retail packaging boxes.

This includes packaging with a longer-term primary use, such as tool retail packaging boxes or DVD cases, packaging where the contents are inherently dependent on the packaging, such as printer cartridges or tea bags, packaging that is primarily designed for use in displaying goods, such as presentation stands or point-of-sale (POS), and plastic packaging that is manufactured or imported for use in the immediate packaging of a medicinal product.

Eliminating Single-Use Plastics As A Whole

One thing is certain: it’s time to transition to sustainable packaging despite uncertainty around the new Plastic Packaging Tax, the environmental consequences of single-use plastics, and an approaching national shortage in recycled materials.

 Businesses who use paper, cardboard, and other environmentally acceptable materials, will benefit from operations that are good for the environment, as well as logistically and financially advantageous – free of the Plastic Packaging Taxes bureaucracy and expenditures.

Plus printers assists organisations in conducting environmentally responsible operations, regardless of whether the goods being transported are for internal use, customer usage, or storage. Along with your fundamental BDC boxes and letter boxes for cardboard packaging.

Does This Also Apply To Packing Imports?

The importation of plastic packaging is also subject to specific regulations that are important to note.

The tax extends to prefilled packaging that is imported as well as finished packaging that is carried into the UK for usage.(such as polythene bags to pack things in) (e.g. bottles containing drinks).

The packaging used for transporting imported goods is not subject to the tax, though. For instance, there will be no taxes applied to any shrink wrap or other plastic wrapping used to convey products into the UK.

Who Is Charged With Paying The Tax?

The new tax will primarily have an impact on imports and producers. If an organisation imports more than 10 tonnes of plastic packaging in a single year. it must register for the necessary tax and pay it in full. Importers of packed plastic packaging are also included in this, as was previously mentioned (e.g., bottles filled with water).


records of import and manufacturing will still need to be retained, even if manufacturers import plastic containers below the 10-tonne level.

The new packaging tax will also have a significant impact on consumers since companies.

 that use plastic packaging must raise their pricing to cover the associated expenses.

Request A Quote To Plus Printers UK

Plus Printers UK assist organisations in conducting environmentally responsible operations. regardless of whether the goods being transported are for internal use. The customer usage, or storage. Along with your essential cardboard packaging items. Including BDC boxes and letter box boxes, we also provide paper-based substitutes for conventional plastic goods. 

For instance, all of our padded sending envelopes employ paper padding rather than the typically used single-use plastic padding. Hexcel wrap is a sustainable bubble wrap substitute that adequately protects valuables in transportation. There has never been a better time to switch to these packaging materials. Doing so is as simple as placing an online purchase.

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