Fentimans, a historic soft drink manufacturer, has raised alarms over proposed glass tax reforms. The company warns that these changes could threaten its operations after more than a century in business.
Industry leaders are similarly concerned, urging the government to reconsider the measures to avoid crippling impacts on small businesses and the broader economic landscape.
The proposed glass tax, part of the Department for Environment, Food and Rural Affairs’ (Defra) ‘extended producer responsibility’ initiative, is expected to add £300 per tonne to the cost of recycling glass. Ian Bray, CEO of Fentimans, lamented the potential repercussions for small businesses, calling the policy inequitable and poorly thought out.
Trade bodies such as the British Beer and Pub Association have called on the Environment Secretary to reconsider. They estimate the tax could increase costs by 3p to 7p per bottle, totaling an additional £84 million to £212 million annually.
Paul Davies, CEO of Carlsberg Marston’s Brewing Company, reiterated these points, stressing the need for constructive discussions with the government to align sustainability goals without harming the industry.
Defra remains firm, describing the measures as vital for reducing waste and advancing a circular economy. They have, however, indicated a willingness to discuss more workable approaches with the glass industry.
Fentimans and other industry players continue to advocate for a more phased or considerate approach to implementing such reforms.
Defra defended the proposals, stating their importance for waste reduction, but also showing willingness to meet industry representatives for further discussions.
This situation serves as a critical test for the government’s ability to implement sustainable policies without causing undue harm to established industries.
The government’s decision could either bolster its sustainability credentials or harm key industries at a critical time.
Both industry leaders and government officials acknowledge the need for environmental responsibility. However, achieving this must not come at the expense of established businesses.
As discussions continue, the hope remains that a balanced solution can be found, protecting both the environment and the economy.
