UK: navigating new packaging regulations in 2025

Businesses must adapt to avoid financial penalties and ensure compliance with sustainability goals. Credit: Valery Evlakhov / Shutterstock

In 2025, the packaging industry faces significant regulatory changes aimed at enhancing environmental sustainability and waste management. Understanding these new regulations is crucial for businesses to remain compliant and competitive.

The UK government has introduced the Extended Producer Responsibility (EPR) scheme, set to commence in October 2025. This initiative mandates that packaging producers bear the full financial responsibility for the collection, recycling, and disposal of their products.  

The EPR scheme aims to incentivise producers to minimise packaging waste and adopt more sustainable materials. Companies are encouraged to assess their packaging designs and supply chains to identify opportunities for waste reduction and increased recyclability.  

Non-compliance could result in financial penalties and reputational damage.  

Starting from January 2025, large packaging producers in the UK are required to assess and report the recyclability of household packaging materials under the new Recycling Assessment Methodology (RAM).

The RAM categorises packaging materials as red, amber, or green based on their recyclability, reflecting the ease with which materials can be processed using the UK's recycling infrastructure.

This assessment will directly impact the fees producers pay for waste management, known as "fee modulation." Producers must evaluate household packaging made from specified material categories, including paper and board, plastics, glass, and metals.

Certain types of packaging are automatically classified as red due to inherent recycling challenges, such as those with integrated electrical components or problematic substances.

Producers are encouraged to begin preparations to ensure compliance with these obligations.

The Plastic Packaging Tax, effective from April 2022, continues to influence packaging strategies in 2025. This tax applies to plastic packaging components produced in or imported into the UK that contain less than 30% recycled plastic.  

The current rate is £200 per tonne of non-compliant packaging. Businesses must maintain accurate records and consider increasing the recycled content in their packaging to mitigate tax liabilities.  

This measure encourages the use of recycled materials and supports the UK's environmental objectives. 

In October 2023, the UK implemented a ban on specific single-use plastic items, including cutlery, plates, and polystyrene food containers.  

As of 2025, enforcement of this ban has intensified, with increased inspections and penalties for non-compliance.  

Businesses must ensure that alternative materials are used for these items and that suppliers are compliant with the regulations. Failure to adhere can result in fines and negative publicity. 

The UK is progressing with the implementation of Deposit Return Schemes (DRS) aimed at increasing recycling rates for beverage containers. Under DRS, consumers pay a deposit on beverage containers, which is refunded upon return.  

Businesses involved in the production or sale of beverages need to prepare for the logistical and financial implications of DRS, including adjustments to packaging design, labelling, and supply chain processes.  

Staying informed about the specific requirements and timelines in different regions is essential for compliance. 

To navigate these regulatory changes effectively, businesses should: 

• Conduct a comprehensive packaging audit: Evaluate current packaging materials and designs to identify areas for improvement in recyclability and sustainability. 
• Engage with suppliers: Collaborate with suppliers to source sustainable materials and ensure that all components meet the new regulatory standards. 
• Stay informed: Regularly review updates from the Department for Environment, Food & Rural Affairs (DEFRA) and other relevant bodies to remain abreast of any changes or additional requirements. 
• Invest in staff training: Ensure that relevant team members are knowledgeable about the new regulations and understand their roles in achieving compliance. 
• Consider technological solutions: Utilise software and tools designed to assist in tracking packaging materials, assessing recyclability, and reporting compliance data.
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By proactively addressing these regulatory changes, businesses can not only ensure compliance but also contribute to environmental sustainability and potentially reduce costs associated with waste management.  

Embracing these changes can enhance brand reputation and meet the growing consumer demand for environmentally responsible practices.