EPR Guidance on Closed Loop Recycling

The Department for Environment, Food & Rural Affairs (Defra) has introduced new guidance on Closed-Loop Recycling under the Extended Producer Responsibility (EPR) for Packaging scheme. This initiative enables large producers to offset the weight of household packaging they supply by recycling food-grade plastic packaging collected from consumers.

Closed-loop recycling is a process where food-grade plastic packaging is collected by or on behalf of the original producer and recycled into new food-grade material or articles by a single accredited reprocessor. This approach ensures packaging waste is reused in a sustainable and safe manner.

‘Closed loop’ packaging waste is household packaging that is:

• Made of food-grade plastic (e.g., PET ready-meal trays).
• Collected by the producer or their representative, without mixing with other waste.
• Recycled through a single accredited reprocessor or exporter, returning material to food-grade quality.

Reporting and Deadlines:
Producers can report closed-loop recycling data via the Report Packaging Data service. While new reporting processes will apply from 2026 onwards, the deadlines for 2024 and 2025 are as follows:

• January–June 2024 and July–December 2024: Deadline 28 January 2026.
• January–June 2025: Deadline April 2026.

Producers must provide documented proof from accredited reprocessors confirming compliance with closed-loop conditions, including recycling percentages and validation processes.

An annual charge of £2,548 applies for submitting closed-loop packaging data. For 2024 and 2025, a combined charge of £2,548 must be paid by 28 January 2026. Separate charges will apply for subsequent years.

Find more information on the EPR guidance for closed loop recycling here.