Specialist PET recycler Enviroo has warned that the UK faces a £750 million ($1 billion) shortfall in recycling infrastructure ahead of the introduction of a deposit return scheme (DRS) for drinks containers.
The Manchester-based company has published a white paper, titled ‘Funding the Infrastructure Gap’, examining how government policy could support investment in domestic recycling capacity and reduce reliance on plastics waste exports.
Ahmed Detta, chief executive of Enviroo, said the UK had relied for too long on exporting PET waste rather than developing sufficient domestic recycling capacity.
He noted the planned introduction of an interoperable DRS across the UK could help drive investment in domestic PET reprocessing.
‘Circularity works’
“PET is where the plastics industry can prove that true circularity works. Get this right, and we create the blueprint for every other polymer stream that follows,” said Detta.
The DRS will introduce a 20p deposit on PET plastics bottles between 150ml and 3 litres in England, Scotland and Wales from October 2027. Wales plans to operate its own scheme, which will also include glass drinks containers.
Enviroo’s white paper was presented at a reception in the Houses of Parliament, where MPs discussed the issue with representatives from the recycling and drinks industries.
The document estimates that up to 380,000 tonnes of PET bottles could be collected through DRSs by 2040. However, it states that the UK currently has around 85,000t of food-grade PET pelletisation capacity.
Enviroo said the resulting gap would require around 15 additional recycling facilities to process collected material domestically.
The company is developing a £60m ($80m) recycling facility at the Protos Plastics Park in Ellesmere Port. The site, due to begin operations in 2027, is expected to process 35,000t of PET bottles annually and produce 18,000t of food-grade rPET each year.
Private investment
Detta said the measures outlined in the white paper could help unlock private investment in recycling infrastructure and support the ambition for all PET collected through DRSs to be recycled into pellets in the UK by 2040.
He said current policies did not provide sufficient confidence for investors, adding that “each week of delay narrows the window before October 2027”.
Andrew Bird, government contracts and procurement specialist at law firm Bird & Bird, said the DRS represented both an industrial and recycling opportunity.
He added: “By creating reliable supplies of high-quality recycled material, the UK can attract investment in domestic reprocessing, create skilled jobs, and capture more of the economic and social value of recycling here at home.”
