What You Need to Know - Plastic tax

What You Need to Know - Plastic Packaging Tax

A new tax on plastic packaging manufactured in or imported into the UK, that does not contain at least 30% recycled plastic is being introduced from 1 April 2022.

What You Need to Know - Plastic packaging tax

What is the aim of Plastic Packaging Tax?

  • To increase the use of recycled plastic content
  • Encourage businesses to work with suppliers of products whose packaging includes recycled material
  • Demand for recycled material lis expected to increase the collection and recycling of waste plastic
  • Reducing the amount of plastic going to landfill or being incinerated


UK Plastic Packaging Tax


Why is this important for your bussiness ?

  • This is a new tax applicable in the UK
  • There are penalties for liable businesses who do not register
  • Costs for some businesses may be significant



The tax will apply to

  • Plastic packaging manufactured in the UK
  • Plastic packaging imported into the UK



  • The definition of plastic packaging under PPT results in wider range of scope – for example, plastic bags and disposable plastic cups
  • Plastic includes bioplastics, including biodegradable, compostable and oxo degradable plastics


4 exemptions

  • Plastic packaging manufactured or imported for use in the immediate packaging of a medicinal product
  • Transport packaging used on imported goods
  • Packaging used as aircraft, ship, and rail stores
  • Components that are permanently designated or set aside for use other than a packaging use



Plastic packaging tax legislation provides that tax which is not paid may implicate secondary businesses further down the supply chain who become jointly and severally liable for the tax.


Tax payment

  • Plastic Packaging Tax will be due on all in scope plastic packaging that is not exempt from the tax
  • Reporting and payment of any tax due is required quarterly


What are the risks of non-compliance?

Like VAT, Plastic Packaging Tax is regulated by Her Majesty’s Revenue and Customs (HMRC). Significant financial penalties will be imposed on companies for deliberate or unintentional non-compliance and/or providing inaccurate information.


What You Need to Know - Plastic packaging tax 

What to do next

  • Whether our business’ activities are covered by the PPT
  • Where our business activities sit in the supply chain (others may pass PPT on to you)
  • Whether our plastic packaging is within the scope of the PPT
  • What records we have of:
    • The weight of plastic packaging you import (including around products) and the plastic packaging you manufacture
    • The recycled content of this plastic packaging
  • Estimate cost liability
  • Alert our finance team – for budget and possible changes to invoices (which may need to show PPT paid)
  • Plan your data gathering and record-keeping to support PPT submissions
  • Produce declaration/certificate for customer


So… what can I do?

SR Mailing ltd is fully prepared for the implementation of the new tax, so our key message to customers is don't worry - we have it covered.

From April 2022, we will manage all of the PPT(Plastic Packaging Tax) implications for our products and the associated paperwork, so that you can continue to shop with us as normal.

UK Plastic Packaging Tax



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Kun Feng
Kun Feng is the foremost sustainable packaging expert who possesses the fundamental eco-knowledge and passion necessary to drive new levels of eCommerce growth without compromising people, the planet, or the economy. 

As the co-founder and managing director of SR Mailing, He has successfully helped over 9,000 eCommerce businesses transform into sustainable suppliers and takes pride in being able to offer eco-friendly packaging solutions that bolster eCommerce reputation and scalability, all while supporting the bigger picture along the way.

Feel free to contact with Kun on Linkedin or Facebook
Kun Feng

Managing Director