UK Plastic Packaging Tax
Sustainably Focused Since 1993
GV Health was founded in 1993 on the principles of sustainability. Throughout our history, we’ve pioneered innovative market leading technologies to reduce the weight of plastic used in products, incorporate recycled plastic wherever possible and improved supply chain and stock management efficiencies to reduce wastage, packaging and fuel miles. As GV Health has been working on this for over 20 years, we are already providing products with the most effective blend of recycled material and for a number of lines we are already at (or above) 30% recycled content.
So, the impact of this tax on our products and customers is minimised as we have been doing this work as part of our ongoing sustainability programme.
First to produce clinical waste bags with recycled content with our clinical waste bags containing up to 20% of recycled material.
53% of our complete range contain 30% to 100% recycled material.
70% of our complete range of our polymer products contain recycled material.
Our products are made globally as well as the UK, the raw material is still subject to the PPT which again GV Health cover.
The Plastic Packaging Tax (PPT) is a new tax, based on primary legislation in Part 2 of the Finance Act 2021, taking effect from 1st April 2022 in the UK. PPT is designed to financially incentivise the use of recycled plastic, to increase waste collection and recycling, diverting it from landfill and incineration. PPT applies to certain plastic packaging items (regardless of whether they’re filled or unfilled) imported into or manufactured within the UK above 10 metric tonnes per year. The criteria placing a product within the scope of PPT are:
If it contains more plastic than any other material by weight.
If it fulfils a packaging function
If it contains less than 30% recycled plastic
PPT levies a surcharge at a rate of £200 per metric tonne to the importer or manufacturer.
PPT applies to a wide range of products, including waste bags, which means a number of GV Health’s products will be subject to PPT. It also applies to, compostable, biodegradable and oxo-degradable plastics.
What this means
GV Health will pay this tax on all affected products and deal with all necessary paperwork. GV Health customers will never need to deal with any tax as the tax is paid by GV Health. GVH will always hold records of all PPT paid.
This does however mean some customers will see price increases across certain product lines. For infectious waste bags, due to their mechanical requirements and because recycled is weaker than virgin plastic, it may prove impossible to implement these changes without rendering them unfit for purpose. Certain products may therefore remain subject to PPT on an ongoing basis.
If you have any questions or would like to learn more about all our sustainable initiatives, please contact our customer teams.