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The Government is intervening to reduce what it describes as ‘unfair double charges’ on packaging for hospital venues such as pubs and restaurants, according to an announcement published on the GOV.UK website on 11 November 2026 by the Department for Environment, Food & Rural Affairs (Defra). This is a headline £870 pub cost saving per year for a typical pub. The more important one for those behind the bar is whether saving such things can help alleviate the financial pressures on the pub industry that are likely to lead to changes in layout, hours and employment.
What the Government has announced
The UK Government packaging waste reforms specifically target glass drink containers which are sold directly from the producer to pubs, restaurants and other licensed venues. These will no longer be subject to extended producer responsibility (EPR) fees, which UK businesses are currently required to pay, from April 2027. Eliminates double charging of packaging for recycling.
The switch should reduce businesses’ costs by up to 6p on each beer bottle and 10p on each wine bottle, says Defra. The saving for a pub that sells 10,000 beer bottles and 3,700 wines per year is up to £870 per year. For many venues, the pub waste disposal charge is a regular, albeit minor, cost to operators in the UK, and this is one of the first targeted efforts to cut those costs.
The Government will also consult on the design of the packaging waste charges for businesses. Less expensive materials like glass and paper would be easier to recycle, while harder-to-recycle packaging like some plastics would be more expensive. This could cut the fees for the most recyclable packaging by up to 40% per year, which would see EPR packaging fees reduced beyond pubs, says Defra.
Why this matters for British pub workers
The announcement is not about jobs; it’s about packaging. However, the pub packaging waste levy is just one of numerous pubs’ business costs in the UK. As overheads increase, owners are restricted in their options – increase prices, reduce hours or decrease staff. This is because British pub workers have an interest in what appears to be a technical policy shift.
No one would want to exaggerate its impact. While saving up to £870 per year is useful, it will not in itself ensure you will be able to work at a pub. But it also helps to make savings in the pub’s running costs when many pubs have little manoeuvring space. When combined with other actions, it could help to ensure the job security of the hospitality sector in the UK, especially in smaller businesses where one cost factor can have an impact on rosters. The announcement does not specify how many pubs will be closed or how many jobs will be lost, meaning there hasn’t been a direct connection made between the savings and job losses that will occur.
Wider hospitality savings
The same policy applies to the wider trade as well and means that they can save money in the hospitality industry by eliminating a duplicated charge rather than subscribing to it. Any relief UK hospitality businesses can get on packaging waste collection and recycling costs goes towards the operators’ bottom line. It is also applicable to small business waste costs in the UK, as many pubs and restaurants will be small independent businesses.
The industry’s reaction: welcome, but not enough
The British Beer and Pub Association (BBPA) said the industry would be “much relieved” by the new price for glass, which would be lower, and also by the end of double charging. If every postcode is to have a thriving beer and pub sector, then the long-term cumulative impact of the UK’s packaging policies must be taken into account, she added. That is an indication of the overall UK pub industry problems, which go beyond a single fee change.
She also left a loophole in the reforms. More than a quarter of Britain’s pubs will not be equally served if the 12,000 publicans in leased and tenanted pubs, who are SMEs, are not covered, the BBPA states. The BBPA believes that any financial support for pub landlords should be levelled and that it should be passed on to the tenants as well as directly to the pubs. The BBPA also hopes the measures would save the brewers tens of millions of pounds from cost pressures.
Nick Kirk from British Glass hailed it as a positive step towards recognition of highly recyclable materials, and Andy Bagnall of the British Soft Drinks Association said tackling double charging was a big first step. Both indicated that there will be more work to be done with Defra, including on indirect supply.
Environmental goals stay in place
The reforms don’t break the spirit of the packaging waste regulations which UK businesses will have to comply with. The Government insists producers must continue to fund the cost of dealing with packaging waste, while £1.4bn has already been given to councils via the scheme to help their recycling services. Defra’s stance is that the scheme should be fair and won’t have an undue impact on certain industries and hospitality firms.
In this respect, the announcement is more of a shift in the tactics of the UK’s environmental packaging legislation rather than its strength. It also addresses the cost of sustainability to the pub industry: it will be about incentivising reusable packaging, not punishing the venues who may not be able to decide what packaging they use.
What comes next
Defra has set out more action:
- Next month: a call for evidence on how more businesses can reuse packaging at greater scale, to reduce waste and plastic.
- Early 2027: PackUK will start to promote a call for evidence regarding the cost of easy-to-recycle packaging compared to the cost of manufacturers paying for packaging waste.
The bottom line for pub staff
The reforms are modest but significant as a package by the UK government to support pubs. These are not the solutions themselves to employment problems within the pub sector and do not address the issue of tenanted pubs. However, they provide a bit of protection to the hospitality industry by relieving the pressure on businesses employing employees by cutting down on business costs. If they are eased sufficiently to have an impact, it will depend on the nature of the rest of the changes and whether leased and tenanted venues are included.
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