Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of the availability of food-safe recycled plastic and other compliant alternatives to virgin plastic packaging for food and drink businesses subject to the Plastic Packaging Tax.

Plastic Packaging Tax (PPT) was introduced in April 2022 to provide a clear incentive for businesses to use recycled plastic in packaging, thereby supporting increased recycling and reducing plastic waste.

At Budget 2025, the government announced businesses will be able to use a Mass Balance Approach (MBA) for the purposes of PPT from April 2027. This will enable chemically recycled plastic to qualify for the PPT exemption, which is suitable for food-grade packaging as it produces outputs equivalent to virgin plastic. Chemical recycling can provide a recycling route for plastic waste which is otherwise difficult to recycle using established, mechanical methods, such as plastic films.

Allowing a MBA for chemically recycled plastic will help to create the conditions for the emerging chemical recycling sector to thrive in the UK.