Philip Hammond to use Budget to unveil new 'plastic tax'

Posted On: 
18th August 2018

Philip Hammond is set to unveil new taxes on single-use plastics after a public outcry.

Philip Hammond will look to use his Autumn budget to place levys on plastics

The Treasury said the Chancellor would use his Autumn budget to introduce the levy in an attempt to force businesses to cut down on plastics in coffee cups and takeaway boxes.

It comes after a Government consultation received a record 162,000 replies from the public on reducing plastic usage, with the vast majority calling for action, according to the Treasury.

Treasury minister Robert Jenrick said: "Tackling the scandal of plastic pollution is one of our top priorities and we know the public is right behind us.

“This is about using the tax system intelligently to encourage manufacturers and retailers to take more responsibility for the products that end up in shops.”

Earlier this year Environment Secretary Michael Gove backed down on plans for a "latte levy" on disposable coffee cups used by high street chains, less than 1% of which end up being recycled.

But a spokesperson for campaign group Greenpeace welcomed the fresh move by the Treasury, saying that a latte levy "seems inevitable now, but that should be just the tip of the iceberg".

Liberal Democrat environment spokesperson Tim Farron meanwhile said: “We’ve been calling for this for years and the Conservatives have continued to do nothing - each year over 2.5 billion disposable coffeee cups are thrown away and I now hope a small levy will finally be introduced to slash this waste.”