Defra Announces One-Year Delay to EPR Fees Implementation

Following rumours around the delays in recent weeks, Defra published the decision in an update to its guidance on EPR. The update confirms that producers which were originally due start payments to local authorities in October 2024 will now start in October 2025.

However, Defra also confirmed that other EPR timescales “have not changed” meaning producers still must report packaging data in 2023; preparations for EPR roll out should therefore remain unchanged for obligated companies. Producers must also continue to pay fees under the previous regulations.

The update from Defra stated: “There has been a decision to defer extended producer responsibility for packaging fees for one year. This update reflects that, and also explains that other timescales have not changed – producers still have to report packaging data for 2023.

As soon as we can, we will give you an indication of what the material fees will be. These will vary depending on the materials you report.

In future, the waste management fees will also vary depending on how easily the packaging can be recycled. Your fee will be lower if you use packaging that is easier to recycle.”

Whilst the payment year is delayed this announcement does not impact businesses’ preparations for the upcoming EPR data submissions due on October 1^st 2023, as this remains a legal requirement and will form the basis of Defra’s fee estimations.

To ensure that the UK continues to meet its recycling targets and reduce landfill and incineration, until the EPR funding comes into effect in 2025, PRN payments are expected to still be needed for 2024. In turn, this would mean that obligated businesses would need to submit data under both the 2007 PRN system regulations for payment and the new EPR regulations for additional data.

Whilst this would result in additional work for producers which would now have to complete two submissions into two systems, the delay will allow businesses to fully prepare for the financial impact of the new regulations, which will be welcome news for many companies. Martin Trigg-Knight, Director of Compliance Services stated the below:

“We are pleased to note the confirmed delay to the EPR payment structure. Anticipating this delay as inevitable, we find it encouraging that Defra has listened to industry feedback and responded with a pragmatic revision of the payments timetable to facilitate a workable staggered start to EPR. This allows Defra to address data reporting format issues without imposing significant financial consequences on producers. We welcome further details as they are released.“

If you or your business are struggling to navigate the complexities of Extended Producer Responsibility and require further assistance please reach out. Our team of compliance experts will answer your queries as soon as possible.

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