- Direct supplies of glass drinks containers to hospitality venues will be exempt from EPR fees from April 2027
- A pub selling 10,000 beer bottles and 3,700 wine bottles could generate estimated annual savings of up to £870
- Further reforms could reduce packaging fees for easily recyclable materials such as glass and paper
Pubs, restaurants and drinks businesses in Britain are set to receive some relief from packaging costs after the government announced changes to rules that have led to businesses being charged twice for recycling the same glass containers.
Under the new measures, glass drinks containers supplied directly by producers to pubs, restaurants and other licensed hospitality venues will no longer attract Extended Producer Responsibility (EPR) fees from April 2027.
The government estimates that the change could save businesses up to 6p per beer bottle and 10p per wine bottle. For a pub selling 10,000 beer bottles and 3,700 wine bottles, the potential annual saving could reach £870.
However, the benefit will depend on which business is responsible for paying the packaging fees. The government clarified that savings would initially accrue to the businesses liable for EPR charges, such as drinks manufacturers, rather than automatically going to pubs themselves.
The announcement is part of a wider effort to make packaging waste rules fairer for businesses while maintaining pressure on producers to reduce waste and improve recycling.
Environment Secretary Dame Angela Eagle said: "We've listened to industry and hospitality businesses and are stepping in to reduce the fees for the most recyclable packaging, including tackling double charging on glass bought by pubs.
"This government is committed to supporting British business and these changes back the glass industry and pubs while making sure we're all doing our bit to reduce waste."
How will the packaging fee changes work?
Extended Producer Responsibility requires businesses that place packaging on the market to contribute towards the cost of managing its waste, including collection and recycling.
The scheme is intended to encourage manufacturers to use more sustainable materials and take greater responsibility for the packaging they produce. However, hospitality and drinks businesses have argued that the existing arrangements can result in overlapping charges on glass containers supplied directly to venues.
The new exemption will cover England, Scotland, Wales and Northern Ireland. The government also plans to consult on changing how packaging fees are calculated, so that materials which are easier to recycle, including glass and paper, attract lower charges while harder-to-recycle packaging, such as some plastics, costs more.
Ministers say stronger fee adjustments could reduce charges for the most recyclable packaging by up to 40 per cent a year.
The government has already provided £1.4bn to councils through the EPR scheme to improve recycling services. It says the latest changes are intended to address concerns that the system could place disproportionate costs on certain industries without weakening the principle that producers should contribute towards waste management.
The reforms also come as the British glass industry faces competition from overseas suppliers. The independent Trade Remedies Authority is investigating imports of glass containers originating in China and Turkey, examining allegations of dumping and subsidies respectively.
A provisional anti-dumping measure on Chinese-origin imports came into force on September 9 following a recommendation by the authority. Both investigations remain ongoing.
Will smaller pubs and drinks businesses benefit?
Industry groups have welcomed the government's announcement but say the details of how the savings are distributed will determine its impact.
Nick Kirk, executive director of British Glass, said the changes recognised the importance of the domestic glass industry and the need for a fairer packaging fee system.
He said the measures would help ensure that highly recyclable materials were properly recognised, while also benefiting other materials such as metal and paper.
The British Soft Drinks Association also described the move against double charging as an important first step. Its director general, Andy Bagnall, said the industry wanted to work with the Department for Environment, Food and Rural Affairs (Defra) on a solution covering indirect supplies as well.
The British Beer and Pub Association welcomed the reduction in glass packaging costs but warned that smaller operators must not be left out.
Chief executive Emma McClarkin said the changes could reduce cost pressures on brewers by tens of millions of pounds. However, she highlighted the position of around 12,000 publicans running leased and tenanted pubs as small and medium-sized businesses.
These operators account for more than a quarter of Britain's pubs, she said, and must also benefit from the reforms.
The government has indicated that further work is needed on packaging supplied through indirect routes, where drinks may pass through wholesalers or distributors before reaching hospitality venues.
Further consultations are also planned. Next month, the government will launch a call for evidence on ways to encourage businesses to reuse packaging on a larger scale. In early 2027, PackUK will consult on stronger adjustments to packaging fees based on recyclability.
For the hospitality sector, the immediate change offers a route to reducing some of the costs associated with glass packaging. But whether that translates into meaningful savings for individual pubs and restaurants will depend on how producers, suppliers and operators share the benefits.
