Environment Agency Introduces £118 Hourly Charge for Simpler Recycling Non-Compliance
The Environment Agency (EA) has confirmed that businesses failing to meet England’s Simpler Recycling requirements will now face a direct financial consequence. From 3 February 2026, the regulator has begun applying a new hourly charge for enforcement activity linked to non-compliance.
The move signals a clear shift: regulatory support remains available, but repeated failure to meet legal duties will no longer be cost-neutral.
£118 Per Hour for Regulatory Intervention
Under the new arrangement, the EA will charge £118 per hour on a time-and-materials basis where regulatory work is required because a business or occupier of relevant non-domestic premises is not complying with Simpler Recycling rules.
The charge applies only where non-compliance is identified. Businesses that meet their obligations will not incur additional regulatory fees.
According to the EA, the purpose of the charge is straightforward: to recover the costs of enforcement activity that delivers environmental benefit and ensures a level playing field across the sector.
In practice, this means that where officers must spend time investigating, advising, revisiting or formally addressing repeated failures, that time may now be billed.
A Reminder: What Simpler Recycling Requires
Simpler Recycling came into force for most businesses and relevant non-domestic premises on 31 March 2025.
The policy requires organisations to:
- Separate dry recyclable waste from residual waste
- Present food waste separately for collection
- Ensure recyclable materials are not mixed back into general waste streams
Micro-firms with fewer than 10 full-time equivalent employees have until 31 March 2027 to comply.
The intent behind the policy is to improve recycling quality, reduce contamination and support the transition to a more circular economy. For regulators, effective separation at source is central to achieving that goal.
Enforcement Focus: Repeat Non-Compliance
The Environment Agency has stressed that it has taken what it describes as a pragmatic approach to implementation. Over the past year, the regulator has worked with sectors to help businesses understand their new duties and adapt their waste systems accordingly.
However, the new hourly charge is aimed squarely at repeat offenders – businesses that fail to engage or repeatedly ignore requirements.
In essence, enforcement time will now be recoverable where businesses refuse to correct persistent breaches.
Consultation Feedback and the “Polluter Pays” Principle
The charging model was subject to an eight-week consultation between 15 May and 15 July 2025.
Most respondents supported, or partially supported, the proposal. A common theme was that regulators should be able to recover costs from those not meeting their legal responsibilities. Several responses referenced the “polluter pays” principle, arguing that compliant businesses should not indirectly subsidise enforcement against those cutting corners.
Some stakeholders suggested linking charges to turnover, headcount or business size. The EA declined to adopt that approach, stating that regulatory costs are driven primarily by environmental risk and case complexity rather than company scale.
Following review of the consultation feedback, the regulator confirmed it would proceed with the £118 hourly charge.
What This Means for Businesses
For organisations already operating compliant waste systems, nothing changes.
For those who have delayed implementing Simpler Recycling requirements or who have not properly separated recyclable and food waste streams the financial implications are now clearer.
Non-compliance can now result in:
- Direct enforcement costs at £118 per hour
- Additional scrutiny from regulators
- Potential reputational and contractual risk
The introduction of this charge reinforces a simple message: compliance is no longer just about avoiding fixed penalties, it is about avoiding ongoing, recoverable regulatory costs.
Practical Considerations
Businesses should ensure that:
- Waste streams are correctly segregated on site
- Contracts reflect separate collection requirements
- Staff understand and follow separation procedures
- Documentation and duty of care obligations are in order
The cost of proactive compliance will almost always be lower than the cumulative cost of repeated enforcement intervention.
At Affordable Waste Management, we work with organisations to structure compliant, practical waste collection systems that meet current UK regulatory standards, including Simpler Recycling requirements, without unnecessary disruption to day-to-day operations.
If you are unsure whether your current setup meets the latest expectations, now is the time to review it before enforcement time starts adding up.
Get a tailored commercial waste quote today.