To ask the Chancellor of the Exchequer, with reference to the policy paper entitled Policy paper Plastic packaging tax updated by his department on 22 November 2020, what plans he has to exempt to confirm that (a) polybutyrate adipate terephthalate and (b) other compostable packaging from the proposed plastic tax.
On 12 November, the Government published the summary of responses to the recent consultation on the detailed design and implementation of the Plastic Packaging Tax. This included confirming the consultation proposal to include all bio-based, biodegradable and compostable plastic packaging in the scope of the tax.
As set out in the summary of responses to the consultation, the Government believes that alternative plastics can play a role in addressing plastic waste if used in the right circumstances. However, further evidence is needed on the impact of widespread adoption of such materials, and it is right to include them within scope of the tax at this stage.
In their report on Plastic Food and Drink Packaging, published 12 November 2019, the Committee for Environment, Food and Rural Affairs stated they did not support a general increase in the use of industrially compostable packaging at this stage.
As part of the Bioeconomy Strategy, the Government is working with industry and the research community to better understand the impact of using bio-based, biodegradable and compostable plastics. Following the conclusion of the Bioeconomy Strategy, the Government will consider further the treatment of these plastics in relation to Plastic Packaging Tax.