Businesses across the South West of England are voicing strong concerns over the new Extended Producer Responsibility (EPR) legislation, calling it overly complicated and warning that it may lead to increased prices for consumers.

The EPR scheme, introduced this month by the UK government, mandates that companies must now cover the full costs of collecting, recycling, and disposing of the packaging they place on the market. This includes branded and unbranded packaging, as well as household and non-household waste, making the system highly intricate according to affected businesses.

Under the new rules, funds collected from businesses will be channelled to local councils, which will be responsible for enhancing waste collection and recycling systems. The Department for Environment, Food and Rural Affairs (Defra) argues that the policy shifts the financial burden of waste management from taxpayers to producers, aiming to generate over £1 billion annually to invest in waste infrastructure and create up to 25,000 jobs.

“It’s incredibly complicated because it’s not just the different types of packaging, it’s whether it goes to household, non-household, branded, unbranded. My spreadsheet matrix is enormous,”

– Sam Lindo, Camel Valley Vineyard

Winemakers and cider producers like Sam Lindo of Camel Valley Vineyard and Joe Healey of Healey’s Cyder express support for the principle of producer responsibility but argue the implementation adds significant bureaucratic overhead and financial strain.

Joe Healey noted that the tax effectively acts as a new manufacturing cost, exacerbating inflationary pressures in the food and drink sector. He linked the scheme to the already rising costs seen on supermarket shelves, particularly in beverages.

Political figures are also raising concerns. Caroline Voaden, Liberal Democrat MP for South Devon, shared an example from her constituency where a local pub has been informed of price increases per bottle due to the EPR.

“The New Inn, a historic pub in my constituency, has been informed by the brewery that prices will increase by 7p per bottle of beer and cider and by 21p per bottle of wine – and they still have to pay for the disposal of the glassware.”

– Caroline Voaden, MP

While Defra insists it has been working with businesses to ensure readiness and will continue engaging with industry stakeholders, many feel that the rollout lacks clarity. Smaller businesses, in particular, are concerned about administrative burdens, especially those without large compliance teams or advanced waste management systems.

The packaging industry now faces a crossroads: support the environmental intent of the EPR while grappling with its economic and operational challenges. As implementation progresses, dialogue between industry, government, and local authorities will be crucial in refining the policy’s structure to ensure both environmental and economic sustainability.

In the long term, the success of EPR will depend not only on financial investments but also on simplifying its framework to better suit the realities of diverse industries and business sizes.