New Digital System and Temporary Closure of the PRN Market – Update
As outlined in last week’s Member Update, on 22 December 2025 there was a Defra communication about the impact of the new digital pEPR packaging service. This included “There will not be functionality on the service to issue PRNs/PERNs in January”, which meant, in effect, there is a temporary closure of the PRN Market, which is having a significant impact on packaging waste reprocessors and exporters.
As an update around activities this week:
- RECOUP have raised this with Defra, as well as many others, immediately in the New Year and also this week, and there has been dialogue with members.
- RECOUP’s position and asks, which we have shared with Defra, are:
- 100% assurance the new system will be fully functional and working from 1st
- Re-instate the old NPWD system to ensure: (a) there is functionality to issue PRN/PERN’s; and b) there is mitigation from the risk of the new system falling over on 1st
- Receive weekly updates from the Agency on the development on the current situation and the new system.
- Make Ministers aware of the current situation and with explanation of how serious it is for reprocessors.
- The response from Defra was that the planned Defra PRN Reform Working Group on 15 January, which is made up of membership organisations and compliance company representatives and RECOUP are on, was repurposed from focussing on the upcoming PRN consultation to solely on the impact and solutions for this issue. Steve Morgan attended this meeting and specifically asked for a message that can be shared, which was currently that the Government recognise this is a critical issue and it is why the meeting had been repurposed. A further meeting is planned for Monday morning, and we will share more as soon as we are able to.
- There was also an email update from Defra on 15 January, which stated:
Current Position
You were recently informed that it would not be possible to issue Packaging Waste Recycling Notes (PRNs) and Packaging Waste Export Recycling Notes (PERNs) in January, and that the service would be available from February. We apologise for this inconvenience and appreciate that this is deeply frustrating.
While the solution originally planned for February requires further development, Defra and the regulators are working as a priority to put interim measures in place and to keep the disruption as brief as we can.
If you need any specific advice or support, please contact us at EPRCustomerService@defra.gov.uk.
Contracts, sales and payments for PRNs & PERNs remain outside of the digital system and operators can enter into agreements to contract sales before the PRN/PERN digital functionality is in place. The ability for reprocessors and exporters to issue 2025 PRNs/PERNs including December Waste PRNs/PERNs will continue without disruption on NPWD until the end of January 2026.
Next Steps
We are working to resolve this disruption as a priority and will provide regular communication to keep businesses updated on progress. In the meantime, if you have any questions, please contact us at EPRCustomerService@defra.gov.uk.
We appreciate your patience and understanding as we work through this.
For those who haven’t heard about this issue, the following information provides more background information.
The new UK pEPR packaging service digital system for registration and accreditation of reprocessors and exporters, which includes functionality to register recycled material and issue PRN/PERNs, should’ve been in place from 1 January 2026. The previous system, the National Packaging Waste Database (NPWD), ceased operating from 31 December 2025.
However, the communication on 22 December stated there will not be functionality on the service to issue PRNs/PERNs in January.
This is at a time when the widely reported UK and European plastic recycling market challenges are ongoing and there is additional regulatory requirements and changes, this is causing uncertainly as to when PRN/PERNs can be issued and impacting cashflow, particularly for small operators who rely on income from PRNs/PERNs.
Accessing the New Digital Service
The Defra communication stated: “As from January 2026, reprocessors and exporters who have applied for 2026 registrations and accreditations and received granted determinations from regulator(s), will start to receive invites to the new digital service. Invites will be sent from the Defra mailbox (ReportPackagingWaste-NoReply@defra.gov.uk) to the Approved Person and nominated registration contacts provided in your registration and accreditation applications. These invites will be released on a staggered basis over a period of weeks and will start with accredited operators who have received their granted determinations from their regulator(s).”.
It has been pointed out by Paul Sanderson at the Recycling Association that the Environment Agency has breached its 12-week legally required deadline for determining applications. These weren’t completed by 1 January and no deadline was given when the invites will be completed. He has also put an article into Lets Recycle yesterday titled ‘OPINION: Chaos for business from PRN market closure’ which can be viewed here.
Packaging Recycling Notes (PRNs) and Packaging Export Recycling Notes (PERNs) during January 2026
The communication also stated: “There will not be functionality on the service to issue PRNs/PERNs in January. Contracts, sales and payments for PRNs & PERNs will remain outside of the digital system and operators can enter into agreements to contract sales before the PRN/PERN digital functionality is in place. From February 2026, you will be able to issue these on the digital service, based on the data you have recorded in your summary log.”.
22 December was the first time it was communicated there would be no functionality to issue or gain revenue from PRNs / PERNs in January, with a gap and potential ‘shadow market’ existing before normal service resumes.
It was assumed but not 100% confirmed the new system will be operational on 1 February 2026.