UK businesses could face substantial financial challenges and instability if they fail to meet their reporting obligations under the Extended Producer Responsibility (EPR) regulations, warns environmental compliance scheme Ecoveritas.

With the 1 April 2025 deadline for packaging data reporting fast approaching, the Manchester-based firm highlights the risk of businesses incurring "unnecessary costs" due to inadequate preparation.

Ecoveritas urges businesses to focus on refining their data processes, as delays in addressing compliance could lead to increased costs in the future. Andrew McCaffery, Chief Strategy Officer at Ecoveritas, emphasised: "Compliance is not a one-time task; it is an ongoing requirement that directly affects financial planning and operational efficiency. Failure to address data accuracy now may result in businesses repeatedly overpaying and facing escalating costs."

"For many companies, this is not only about regulatory compliance – it is crucial for their long-term financial sustainability."

The new regulations, which apply to businesses with a UK turnover exceeding £1 million, a physical presence in the UK, and those handling more than 25 tonnes of packaging annually, could result in compliance costs ranging from £40 million to £130 million for the largest retailers.

McCaffery further explained: “Even a minor miscalculation in packaging weight can lead to significant financial consequences. For example, a discrepancy of just 20 grams per product may seem negligible, but for a product selling 12 million units, it could equate to an additional £150,000 in fees due to 240 tonnes of material. This could cost businesses hundreds of thousands of pounds.”

With the upcoming data reporting deadline replacing the 1997 Packaging Waste Regulations, McCaffery concluded: "This is more than just a compliance issue. It is an opportunity for businesses to take proactive control of their packaging responsibilities, enhance sustainability efforts, and position themselves as leaders in environmental stewardship. By accurately reporting packaging data and making informed decisions, companies can reduce waste, lower their carbon footprint, and contribute to a circular economy, creating a more sustainable future for all."

 

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