British Glass has accused the UK Government of shattering the UK glass sector after a controversial new packaging tax was passed by Parliament.

The new packaging extended producer (pEPR) scheme transfers the cost of collection and sorting from local authorities to producers.

Consequently, heavier containers like glass will incur higher levies under the new scheme.

This means products in glass bottles and jars could be set have an additional cost, in excess of 10p, whereas products in plastic or metal containers will only have a marginal cost.

Glass fees for beverage packaging will be around 49 times higher than other, less recyclable materials.

This could see brands move away from using 100% recyclable glass products.

British Glass says the move will lead to job losses in a sector, which employs 120,000 in its supply chain.

The new packaging tax, set to be implemented from April 2025, will also push up the price of many items and could lead to more throwaway plastic, warns British Glass.

Chief Executive of British Glass, Dave Dalton, said: “The Government has failed to listen to concerns from producers and trade bodies and is ploughing on with this ill-thought-out scheme which is a hammer blow to the glass sector and British manufacturing.

“British Glass supports the principle of pEPR and that packaging waste collection and recycling needs to be reformed to deliver a circular economy for the UK.

“However, this scheme will have a profound impact on competitiveness against other packaging formats – leading to job losses predominantly in the UK’s manufacturing heartlands.”

British Glass and several large food and drink producers have raised concerns with MPs and Ministers on the pEPR policy’s negative impact.

In terms of price changes, a 330ml glass beer bottle will have a pEPR fee of approximately 5p.

With the addition of supply chain margins and VAT, the consumer will see at least a 10p increase in a beer bottle and higher amount for larger soft drink, wine and spirit bottles.

Meanwhile, metal and plastic beverage packaging will not be affected.

This will lead to inflation for the consumer, or a switch away from glass packaging.