How Businesses Are Reacting to New Recycling Legislation
The shift to Simpler Recycling is in full swing, and businesses’ reactions are varied. Many are still juggling upfront costs and logistical hurdles, but others are already spotting clear benefits in cost savings, smoother operations, and a greener brand image. So, how are businesses responding? Let’s break it down, and show you how to stay ahead.
Glasdon UK surveyed 300 business decision-makers in February 2025, this being just 56 days before the March 31st deadline. The results were telling: only 42% said they were fully prepared, while 47% were somewhere in the process, and a worrying 1.7% didn’t expect to comply until April 2026. (The Educator, 2025). While there’s movement, many businesses are still scrambling to catch up.
How are businesses adapting?
Extended Producer Responsibility (EPR) is transforming how packaging is handled. Rather than taxpayers or local authorities shouldering end-of-life disposal, businesses now carry that responsibility themselves, from data reporting to recycling fees (Rangwala, 2025; Addleshaw Goddard, 2025).
Targets and expectations are ramping up fast. As of June 2025, PackUK confirmed 2025 base fees and announced a fee modulation policy: RAM Green-rated, highly recyclable packaging will benefit from decreasing fees, whilst RAM Red-rated, poorly recyclable packaging will attract progressively higher fees by 2026–27 (GOV.UK, 2025).
There are two key ways businesses are addressing these new costs.
Reducing packaging production
A recent study found that switching just 30% of goods to reusable packaging could divert 95% of packaging waste, whilst also cutting EPR costs significantly, and generating 13,000 new jobs (Packaging Europe, 2025).
Supermarkets are among the first to respond. Nine major UK supermarkets, Aldi, Asda, Co-op, Lidl GB, Morrisons, Ocado Retail, Sainsbury’s, Tesco, and Waitrose, are collaborating with the UK government and the waste charity WRAP to reduce plastic waste by exploring reusable packaging options and developing systems that make it easier for shoppers to use refillable and reusable packaging both in stores and online. As part of the UK Plastics Pact, which aims to ensure all plastic packaging is reusable, recyclable, or compostable by 2025.
Increasing recycling rates
Reducing waste isn’t the only way businesses are addressing the change. Glasdon UK notes that more companies are now separating cardboard, food, and mixed recyclables correctly, with some already seeing cost savings and positive customer feedback.
This mirrors results seen internationally. In countries like Germany, Extended Producer Responsibility (EPR) schemes have driven significant increases in recycling rates by making producers financially responsible for the end-of-life management of their packaging (ScienceDirect).
For many businesses, reducing packaging waste simply isn’t an option. However, this upward trend suggests that, despite early uncertainty, businesses are beginning to embrace the new system and recognise the operational and reputational benefits it brings.
How can you adapt?
For businesses ready to act, Simpler Recycling and EPR present a rare opportunity to get ahead. By streamlining waste systems, securing better recycling contracts, and redesigning packaging to meet recyclability targets, companies can lower long-term disposal costs and avoid the higher fees of non-compliance. Early movers will also strengthen customer loyalty, as consumers increasingly choose brands that demonstrate genuine environmental responsibility. Acting now can transform what might seem like a regulatory cost into a long-term driver of growth, reputation, and efficiency.
The fastest way to adapt is to speak with a recycling expert who can help you find the most cost-effective path forward, whether that means switching to more recyclable materials, optimising waste collections, or even turning waste into a revenue stream. Whatever the answer, cooperating with these changes early will benefit your business in the long-term.
At So Recycle, we offer flexible collection options for businesses of all sizes, helping our customers save both time and money.Talk to one of our expert account managers today to create a custom recycling solution for your business:
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