If you've seen the term "pEPR" or "Extended Producer Responsibility" mentioned by your packaging supplier, accountant or trade association recently, you're not alone — the UK's Extended Producer Responsibility for Packaging scheme has been one of the most talked-about compliance changes for hospitality and retail businesses heading into 2026. Here's a plain-English look at what it means and what you can do about it.
This article is general information, not legal or financial advice. For your specific obligations, always check the latest guidance on GOV.UK or speak to your accountant.
What Is Packaging EPR?
Extended Producer Responsibility (EPR) for packaging is a UK-wide scheme that shifts the cost of collecting and recycling packaging waste onto the businesses that put that packaging on the market — rather than funding it entirely through council tax. If your business supplies packaged goods, including branded cups, bags, boxes and other packaging you put your name on, you may have reporting obligations, and larger businesses face annual fees based on the volume and type of packaging they use.
Who Does It Actually Affect?
The scheme is primarily aimed at larger "obligated" businesses above certain turnover and packaging tonnage thresholds, so many independent cafés, small bakeries and single-site retailers fall below the threshold for fees, even though some reporting rules apply more broadly. If you're a smaller operator, it's still worth checking your position, since thresholds and obligations have been refined as the scheme has rolled out — and if you supply packaging to other businesses rather than using it yourself, your obligations may differ again.
The Part That Matters Most for Packaging Choices: Modulated Fees
One of the most important features of the scheme for anyone buying packaging is that fees are "modulated" — meaning packaging that's genuinely easy to recycle attracts lower fees than packaging that's difficult or impossible to recycle through normal household collection. In practice, this means:
- Widely recyclable materials (like standard cardboard cake boxes or kraft paper bags) tend to sit in lower fee bands
- Packaging with mixed materials, certain plastics, or hard-to-recycle laminates tends to sit in higher fee bands
For an obligated business, this creates a direct financial incentive to simplify packaging choices — fewer composite materials, clearer recyclability, and paper-based options where they genuinely do the job.
What This Means Practically for Cafés, Bakeries and Retailers
1. Know Where You Stand
Work out whether your business meets the obligated thresholds this year — this can change as you grow, so it's worth rechecking annually rather than assuming last year's position still applies.
2. Favour Simpler, Recyclable Materials Where You Can
Paper-based cups, bags and boxes generally recycle more easily than heavily laminated or mixed-material alternatives, which can help keep any fees you do pay lower, as well as being an easier sustainability message for your own customers.
3. Ask Your Packaging Supplier the Right Questions
A supplier who can tell you clearly what a product is made from, and how recyclable it is, makes it much easier to assess your own packaging footprint and respond to EPR reporting requirements with confidence.
Packaging Choices That Help
If you're reviewing your packaging mix with EPR in mind, paper-based options are generally the simplest starting point. Our single wall paper cups, paper grab bags and cardboard cake boxes are all paper-first options that are straightforward to recycle through standard UK waste streams, making them a sensible default for most hospitality and retail businesses working through their packaging strategy this year.
Stay Informed, Stay Compliant
EPR rules and fee rates have continued to evolve since the scheme launched, so the most reliable source is always the official guidance rather than second-hand summaries (including this one). Review your packaging mix, check your obligations on GOV.UK, and talk to your supplier about recyclability — it's a conversation worth having before your next bulk order, not after.