UK Plastic Packaging Tax Update
22 May 2026
What Importers, Exporters and Supply Chains Need to Prepare for Now
The UK’s Plastic Packaging Tax (PPT) has been in force for a while, but the rules around recycled plastic evidence could soon become much stricter.
This week, HMRC and HM Treasury launched a new 12-week consultation looking at whether businesses should be required to use mandatory certification schemes to prove recycled plastic content in packaging.
For importers, exporters, manufacturers and logistics providers, this matters more than many realise.
The direction of travel is clear. Regulators want stronger traceability, better evidence, and tighter controls around recycled plastic claims, especially for imported packaging.
Here’s what businesses need to know now, what changes are being reviewed, and how to prepare before the next phase of compliance arrives.
What Is the Plastic Packaging Tax?
The Plastic Packaging Tax applies to plastic packaging manufactured in or imported into the UK that contains less than 30% recycled plastic.
The tax currently stands at £228.82 per tonne of taxable plastic packaging.
The aim is to encourage businesses to use more recycled plastic and reduce reliance on virgin polymers across UK supply chains.
The tax can apply to:
- Plastic packaging manufactured in the UK
- Empty plastic packaging imported into the UK
- Plastic packaging imported with goods
- Certain transport and distribution packaging
The Current Situation
Right now, businesses can claim exemption from the tax if they can show their packaging contains at least 30% recycled plastic content.
However, HMRC has concerns about how recycled content is currently evidenced.
At present, businesses may rely on:
- Supplier declarations
- Technical data sheets
- Certificates of conformity
- Production specifications
- Commercial invoices
- Audit records
The problem is that standards vary widely across the market.
Some importers have strong traceability systems. Others rely on supplier statements with very little independent verification.
For overseas supply chains in particular, proving exactly where recycled material originated and how it was processed can be difficult.
That’s one of the main reasons the government has opened this latest consultation.
What Is Being Reviewed?
The government is consulting on whether mechanically recycled plastic packaging should require mandatory certification before businesses can claim exemption from Plastic Packaging Tax.
In simple terms, businesses may eventually need independently verified proof that recycled content is genuine and traceable.
The consultation is specifically reviewing:
- The risk of fraud or inaccurate recycled-content claims
- How certification schemes could work in practice
- The costs and operational impact on businesses
- What evidence standards should apply
- Which certification systems may be acceptable
- Possible implementation timelines
HMRC is also engaging with:
- Importers
- Exporters
- Packaging manufacturers
- Waste management providers
- Recyclers
- Freight and logistics operators
- Local authorities
- Trade associations
The consultation is open until 10 August 2026.
Why Importers Should Pay Attention
Many UK importers are already liable for Plastic Packaging Tax without fully realising it.
If your business imports packaged goods into the UK, you may become responsible for PPT compliance even when the packaging was sourced and manufactured overseas.
That means HMRC may expect you to hold evidence showing:
- Recycled content percentages
- Source material details
- Production traceability
- Supporting technical documentation
The challenge is that many overseas supply chains are not yet set up for this level of reporting
Some businesses still rely on:
- Generic supplier declarations
- Unverified recycled-content claims
- Incomplete technical specifications
- Limited batch traceability
If certification becomes mandatory, those gaps could quickly become compliance risks.
What Exporters Need to Know
Exporters supplying goods into the UK should expect customers to tighten packaging compliance requirements over the next 12 to 24 months.
UK importers are likely to start requesting:
- Formal recycled-content declarations
- Third-party certification
- Batch-level traceability
- Chain-of-custody evidence
- Audit access rights
This is especially relevant for:
- Retail supply chains
- FMCG products
- Food packaging
- Automotive components
- Consumer goods
- E-commerce shipments
Packaging compliance is becoming a procurement issue, not just an environmental one.
The Next Confirmed Change: April 2027
One important change has already been confirmed.
From 1 April 2027, the government plans to allow chemically recycled plastic to count toward recycled-content requirements under a mass balance approach.
This is separate from the current consultation but closely linked to the wider reform of Plastic Packaging Tax.
Mass balance accounting allows recycled and virgin materials to be mixed during production while allocating recycled content through audited accounting systems.
For businesses using advanced recycling technologies, this could create more flexibility, but it will also require stronger documentation and verification processes..
Key Dates To Remember
Plastic Packaging Tax Introduced
☐ Already in force since 1 April 2022
Current Government Consultation Closes
☐ 10 August 2026
Chemically Recycled Plastic Rules Expected
☐ 1 April 2027
What Businesses Should Do Now
Waiting until new rules become mandatory could create serious operational pressure later.
Businesses should start preparing now.
Final Compliance Reminder
Businesses relying on basic supplier declarations or incomplete packaging records should act now.
The focus from HMRC is moving toward:
- Stronger audit trails
- Verified recycled-content claims
- Supply chain traceability
- Formal certification systems
Early preparation will reduce compliance risk and help avoid disruption later.