DEFRA Circular Economy Reforms Updates – Including Comprehensive Ram Update
DEFRA held their Circular Economy Joint Stakeholder Forum webinar on Tuesday 1 April 2025, which included DEFRA presenting their future approach on modulated fees for the first time. This outlined the plan to publish the first 3 years of modulation factors in advance this year, which is to be reviewed within 3 years; the core principles; RAM modulation fee methodology and examples; ‘red fee’ increases and increasing fees over time; and an international comparison.
The examples show that green fees decrease if red fees rise – which means the total (average) costs that producers pay won’t change. Green fee discounts are calculated using the excess raised from all red materials (i.e. the volume of red material on the market). The red fee will be 1.2x the base fee (currently £485) in 2026, 1.6x the base fee in 2027 and 2x the base fee in 2028. Amber is the base fee.
Plastic was used as the example. Flexible plastic ‘assuming no takeback route’ would class as red and so would currently be £582 (£485 x 1.2). Using a simple PET container would lead to cost savings, but until fee modulation is put into practice, costs can only be estimated.
You can view the slides from the RAM section of the webinar here.
The RAM update also included:
• V1.1 of the Recyclability Assessment Methodology (RAM) is set to be released at the end of April.
• The initial modulation would be based on recyclability as determined by the RAM, but in parallel DEFRA would consider how modulation could be applied based on other characteristics of sustainability.
• The next activities include a stakeholder survey in April, a revision of proposals based on feedback in May, with the publication of the fee modulation policy statement in June. The detail of the stakeholder survey is expected to be shared in the next Circular Economy Bulletin.
• Next Steps: April 2025 – Stakeholder survey launch / May 2025 – Proposal revisions based on feedback / June 2025 – Formal publication of the Fee Modulation Policy Statement.
DEFRA also presented on:
• pEPR and PackUK update.
• Simpler Recycling in England.
• Digital Waste Tracking.
• Next meetings to note.
Packaging Extended Producer Responsibility & PackUK
Senior role recruitment for PackUK continues, including voluntary recruitment for three new committees:
• RAM Committee.
• Efficient & Effective Committee.
• Comms/Behaviour Change Committee.
PackUK Strategy to be published in June, and final Base Fees & Local Authority Notification scheduled for release also in June.
Simpler Recycling in England
eTEEP: WRAP shared their launch of a ‘free to use’ tool for Local Authorities to support their written co-collection assessments (TEEP). This standardised tool has been designed to ensure high standards of assessment and reduce pressure on LA’s in completing the assessment. The tool has been extensively tested with 50 Local Authorities ahead of the launch and can be found on WRAP’s LA Portal. Further info: eTEEP tool | WRAP – The Waste and Resources Action Programme
Digital Waste Tracking
Three co-design working groups are to be set up. These are: – Technical Group; Industry Group and Local Authority Group.
Next meetings to note
6th May – Joint Stakeholder Engagement Forum
24th April – Simpler Recycling Webinar Education Sector
13th May – UK Soft Drinks Conference
14th May – Rethinking Materials Conference
24th & 25th June – Environmental Packaging Summit
A summary of the previous Stakeholder Engagement Forum (held on 11 March) can be found here.
DEFRA Circular Economy Newsletter – 27 March
DEFRA also shared updates in their Circular Economy Newsletter on 27 March:
• Collection and Packaging Reforms: Delivery Roadmap – This is an updated delivery roadmap chart which adds the new date for Digital Waste Tracking, amongst other changes.
• Extended Producer Responsibility for Packaging (pEPR): Aggregated Packaging Data update
• Webinar for Reprocessors/Exporters of UK Packaging Waste – Recording Now Available
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