UK businesses to benefit as online platforms pay their fair share to recycle electrical waste

Online marketplaces will now help cover the costs of cleaning up waste electricals, like washing machines, radios and vacuum cleaners, from our homes and streets, Circular Economy Minister Mary Creagh announced today (Tuesday 12 August), as new regulations ensuring a level playing field for UK retailers come into force to make the system fairer.

Before now, UK-based firms covered the costs for the collection and processing of electrical waste, which placed them at a disadvantage compared to their online rivals based abroad.

In collaboration with online marketplaces, from today a new system will ensure they help pay for dealing with broken electrical items, such as broken radios to battered fridges – ensuring this harmful waste is collected and recycled, rather than fly-tipped by individuals into the natural environment. The changes will for the first time ensure the country's manufacturers and importers do not unduly bear the cost burden of managing waste they did not create – making the system fairer for British businesses.

Electrical waste is the fastest growing waste stream in the world. Industry estimates by Material Focus found more than 100,000 tonnes of electricals, like irons and microwaves, are binned across the UK every year.

Bringing the rules for online marketplaces into force helps deliver on the government's Plan for Change to end the nation's throwaway culture and stop the avalanche of waste filling our high streets, countryside and oceans.

The funds generated will also improve the collection and treatment of waste items collected by local authorities and returned to retailers, helping to move the nation towards a more circular economy and ensure there is increased investment in critical recycling infrastructure and green jobs to deliver growth.

The government has engaged extensively with online marketplaces and retailers throughout this process and look forward to a new system which is fairer for all.

Circular Economy Minister Mary Creagh said:

We are committed to moving towards a circular economy in which we keep electricals from laptops to toasters in use for longer.

Ensuring online marketplaces pay their share for managing the cost of the electrical waste they generate will increase recycling and level the playing field for UK-based retailers, boosting growth and making the system fairer through our Plan for Change.

Paula Coughlan, Chief People, Communications & Sustainability Officer at Currys said:

We welcome this positive change that helps create a more level playing field for UK retailers. It is important that the responsibility to safely dispose of electronic waste is shared fairly, and we're pleased the Government has listened to us and other industry leaders. It's an encouraging step, and we look forward to the Government's broader Circular Economy Strategy.

Currys is already leading the way in giving tech longer life, through initiatives like Cash for Trash, and we have ambitious ideas to take this further through close collaboration with industry and Government. As well as making online marketplaces pay for the waste they create, we should be going further to set stretch targets and incentivise investment in cleaning it up too. We believe with the right skills and infrastructure in place, the UK can build a thriving circular economy - enabling lasting and sustainable change.

John Boumphrey, UK Country Manager at Amazon, said:

We welcome the Government's focus in this critical area and look forward to continuing our work with the Circular Economy Taskforce to drive further innovation, supporting the UK's transition to a more circular economy. We believe retailers have an important role to play in reducing waste, which is why we prioritise reselling, refurbishing, donating or recycling products wherever possible.

Scott Butler, Executive Director of Material Focus, said:

We welcome the new vape category announced today, which provides a further opportunity to tighten up the environmental enforcement of vapes. By understanding how many vapes are being sold, Defra can set targets to ensure that vape producers make their fair contribution to the costs of recycling these products. 

Clarifying that online marketplaces for electricals must now meet producer responsibilities for their non-UK based sellers is also welcome. This means that they will take their share of the costs of recycling electrical products at the end of their life.  This will also mean that the rise in FastTech, the ultra-cheap, small electrical items, which are surging onto the market will be captured, as the majority of their sales are through online channels.

Under the new rules, online marketplaces will need to register with the Environment Agency and report data on sales made by their overseas sellers in the UK. This data will be used to calculate the amount of recycling companies must finance annually.

Alongside the additional requirements for online marketplaces, a new category of electrical equipment for vapes has been introduced to ensure the costs of their collection and treatment fall fairly on those who produce them.   

Vapes contain valuable and critical materials such as lithium and copper and industry research from Material Focus suggests the number thrown away each year could instead power more than 10,000 electric vehicles.

With wasteful single-use vapes disappearing from the shelves of the nation's shops as a ban on sale and supply came into effect on 1 June, the government is now taking decisive action to ensure vape producers pay their fair share to manage the waste arising from reusable products.

The government is committed to moving towards a circular economy in which electricals are kept in use for longer and less waste goes to landfill. A Circular Economy Taskforce of experts has been convened to help develop a Circular Economy Strategy for England, as part of which there will be a roadmap to increase the reuse and recycling of electrical equipment.

Material Focus's ‘Recycle Your Electricals' campaign provides a postcode locator tool on its website to help people find local recycling points for their old electrical items, making it easier for everyone to recycle anything with a plug, battery, or cable.