The UK’s Plastic Packaging Tax (PPT) is costing businesses more since April 1st 2025. If you manufacture or import plastic packaging, you could be paying over £223 per tonne unless your packaging meets strict recycled content rules.
This comes at a time when packaging regulations are tightening across Europe, including the introduction of the EU Packaging and Packaging Waste Regulation (PPWR), which officially entered into force in 2025. The PPWR imposes new rules on recyclability, packaging design, and minimum recycled content — reinforcing the shift toward circular economy principles across the continent.
But there’s an opportunity here: by switching to reusable polypropylene packaging, you can significantly reduce tax liability, cut waste, and align your supply chain with both UK and EU sustainability goals.
At Corplex, we design and manufacture tax-efficient, reusable plastic packaging to help you stay compliant and cost-effective.
As a leader in eco-friendly transport packaging solutions, Corplex is here to help businesses like yours understand and adapt to this transformative regulation.
This guide will break down the most critical aspects of the Plastics Packaging Tax.
What is the Plastic Packaging Tax?
Who Pays the Tax?
What Counts as Recycled?
Multi-Material Packaging
Reusable Transport Packaging
The Plastic Packaging Tax applies to plastic packaging made in or imported into the UK that contains less than 30% recycled plastic. The tax came into force on 1 April 2022 and is charged at a rate of:
Source : https://www.gov.uk/guidance/check-if-you-need-to-register-for-plastic-packaging-tax
The UK Plastic Packaging Tax was created to drive environmental change by encouraging businesses to use more recycled plastic in their packaging. By taxing plastic packaging that contains less than 30% recycled content, the government aims to reduce reliance on virgin plastic and boost demand for recycled materials.
This tax supports the UK’s wider environmental goals, including reducing plastic waste, cutting carbon emissions, and promoting a circular economy. It also puts financial pressure on companies to rethink packaging design — whether by increasing recycled content, simplifying materials, or switching to reusable alternatives.
If you manufacture or import more than 10 tonnes of plastic packaging in a year, the tax applies to you.
That includes:
You’ll need to:
Some big updates this year make compliance tougher:
Translation: only post-consumer recycled plastic qualifies—and you’ll need documentation to prove it.
Corplex’s polypropylene packaging can be manufactured with 30% or more recycled content, ensuring full compliance.
To be exempt from the tax, your packaging must contain 30% or more certified recycled plastic.
Here’s what counts:
| Material | Counts |
|---|---|
|
Post-consumer recycled plastic (PCR) |
Yes |
|
Pre-consumer plastic waste (scrap, offcuts) |
No (from 2025) |
|
Chemically recycled plastic |
Yes (if mass balance is used) |
You’ll need evidence: supplier declarations, test certificates, or audit trails. No proof? Full tax is applied.
At Corplex, we provide documented traceability and certifications to support your compliance with the tax. Explore our sustainable materials.
But what about packaging with multi materials dividers and dunnages? The UK Plastic Packaging Tax applies to plastic packaging components, even if they are part of a multi-material pack.
The rule:
If a packaging item is made from more than one material, and plastic is the heaviest by weight, it counts as plastic for tax purposes.
The Plastic Packaging Tax makes a clear distinction when it comes to reusable transport packaging like crates, pallets, or mail sacks.
| Usage Scenario | Tax Exempt? |
|---|---|
|
Reusable plastic crates used to import goods into the UK |
Yes |
|
Reusable pallets manufactured in the UK |
No |
|
Reusable packaging used only within the UK |
No |
|
Packaging imported as a product (not with goods) |
No |
Key takeaway:
If your reusable packaging is used only to move goods within the UK, or is UK-made, it’s still subject to PPT — unless it contains 30% recycled plastic.
This is where reusable polypropylene with recycled content or clearly tax-exempt design becomes a smart investment. We can help you identify which of your solutions qualify.
Here’s what to do now:
Explore reusable alternatives – Polypropylene packaging could eliminate your tax liability altogether.
At Corplex , we help businesses to:
Contact us today to find the right packaging solution for your business.
This article provides general information and does not constitute legal or tax advice. For full regulatory details, refer to official HMRC guidance: Check if you need to register for Plastic Packaging Tax.
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