EPR Enforcement: Businesses Risk 5% Turnover Penalties for Late Payments
UK producers are being warned to stay alert to upcoming Extended Producer Responsibility (EPR) deadlines, as PackUK confirms that late or missed payments could trigger turnover-based penalties of up to 5%.
According to PackUK’s enforcement framework, companies that miss the payment deadline for household waste disposal fees will be issued a variable monetary penalty calculated as the higher of:
- 20% of unpaid fees, or
- 5% of UK turnover (for single entities) / 2% of group turnover (for group registrations).
These penalties are tied to fees for packaging placed on the market during 2024, which are being invoiced from October 2025.
PackUK has also released its initial EPR base fees, offering the first detailed insight into the scale of expected waste disposal costs under the scheme. These figures are still classed as provisional and will be refined as more data becomes available.
Variable EPR Fees Coming in 2026
The data submission deadline for producers under the EPR scheme passed on 1 October 2025, marking the first full reporting cycle. All large obligated producers were required to submit detailed information covering packaging volumes and recyclability classifications for January to June 2025.
From 2026 onwards, the EPR system will introduce variable fee rates based on the recyclability of packaging, in line with PackUK’s Recyclability Assessment Methodology (RAM).
Under this framework:
- Packaging materials rated as more recyclable will attract lower fees.
- Non-recyclable or complex packaging will result in higher charges.
The methodology applies a Red – Amber – Green (RAG) scale to assess packaging performance – with green indicating materials that are readily recyclable, amber for partially recyclable formats, and red for those that cannot be effectively processed through existing UK systems.
PackUK outlined this approach in its RAM Roadmap 2025 – 2030, published on 3 October 2025, which details the planned timeline for further guidance, updates, and enforcement milestones.
Industry Reaction: Growing Concern Over Rising EPR Costs
Despite its environmental intentions, the financial implications of EPR are generating widespread concern across the retail and manufacturing sectors. Many producers argue that the new cost burden – coupled with additional administrative and reporting requirements – risks undermining already strained business margins.
Trade associations have urged the government and PackUK to ensure fee transparency and fair allocation of funds, warning that without careful oversight, EPR could become another layer of cost pressure passed directly to consumers.
Supporting Businesses with Waste Compliance
At Affordable Waste Management, we understand how evolving environmental regulations like EPR impact UK businesses. Our nationwide team works with more than 200 trusted contractors, helping organisations remain fully compliant with packaging waste obligations, reduce costs, and improve sustainability outcomes.
From waste collection and disposal to recycling and reporting, we provide tailored commercial waste solutions that make compliance simpler, smarter, and more affordable.