A trial is underway in Belgium to test whether digital watermarks can improve the sorting of flexible food packaging and help increase the availability of recycled material for food-grade applications.

The trial will examine how invisible digital watermarks can be used to identify characteristics of packaging, including its material type and whether it has previously been used for food.

As part of the project, sorted bales of flexible film collected through Belgium’s household recycling system will be analysed using specialist sorting equipment.

The material will be sent to Hündgen Entsorgungs’ sorting centre in Germany, where high-resolution cameras supplied by machine manufacturer Pellenc ST will scan the packaging and detect Digimarc digital watermarks.

The watermarks are imperceptible codes applied across the surface of packaging during the printing process. Their use is being investigated as a way of creating more targeted sorting streams, particularly for flexible food packaging, which can be difficult to recycle into high-quality applications.

The trial is being led by Fost Plus, the organisation responsible for packaging waste recycling and reuse in Belgium, and forms part of the HolyGrail 2030 – Circular Packaging Consortium.

The consortium is facilitated by AIM – European Brands Association and brings together around 79 companies and organisations, including brands, technology providers, packaging converters, sorting companies, recyclers and research institutes.

Mondelez International, PepsiCo and pladis are among the companies participating in the trial.

Richard Akkermans, European R&D Packaging Productivity and Sustainability Manager at Mondelēz International, said: “HolyGrail 2030 is a pivotal, cross-industry initiative for better sorting and recycling of flexible packaging in the EU.

“Achieving circularity for food-contact flexible plastics isn’t just an ambition, it’s a necessity.

“In order to be ready for the ambitious recycled content targets in the upcoming EU Packaging and Packaging Waste Regulation, this market demonstration aims to provide the real-life technical learning that the value chain needs in order to increase the availability, compatibility and affordability of recycled plastic coming from new technologies.”

Food-grade Recycling

The ability to produce high-quality recycled material from flexible food packaging remains challenging, with accurate identification and sorting among the issues facing the sector.

Digital watermarking could potentially help separate packaging according to characteristics that are difficult to identify through conventional sorting methods.

However, sorting is only one part of the process required to produce food-grade recycled material, which also requires suitable recycling and decontamination processes.

Liz Morrish, CEFLEX Leadership Team – Operations Director, said: “Food-contact recycled content is where the industry has some of the biggest challenges and the least time.

“This trial moves testing from evidence-gathering into commercial reality, which is exactly what bridging the gap between ambition and the 2030 targets requires.”

The trial comes as the European Packaging and Packaging Waste Regulation (PPWR) introduces new recycled content requirements for certain plastic food packaging from 2030.

The requirements include a minimum of 10% recycled content for some contact-sensitive packaging applications, increasing the focus on technologies that could improve the supply of suitable recycled plastics.

Drinks producers will not pay a producer fee during the first 15 months of the UK Deposit Return Scheme (DRS), under fee rates announced by Exchange For Change.

The industry-led organisation responsible for delivering the UK-wide scheme has confirmed that the producer fee will be set at zero pence per container when the DRS launches in October 2027.

The 0p rate will remain in place until the end of December 2028, with fees then expected to be introduced from January 2029.

Exchange For Change said the initial zero-fee period would help limit costs for businesses as the scheme gets underway.

Russell Davies, Chief Executive of Exchange For Change, said: “We recognise the breadth of work being undertaken by industry to prepare for launch in October 2027. Setting a 0p producer fee for the first 15 months of the scheme is intended to support businesses in the early stages of the scheme."

“As a not-for-profit organisation, we are committed to ensuring that producer fees always remain as low as possible, while supporting the long-term financial sustainability of the scheme.”

What is the producer fee?

Producer fees are intended to contribute towards the cost of running the DRS.

Based on current projections, the fee is expected to rise to 0.6p per aluminium and steel container and 2.3p per PET container from January 2029. These rates are currently forecast to remain in place until December 2032.

Exchange For Change stressed that the figures are not final, with the proposed fees due to be reviewed and validated in May 2027, ahead of the DRS launch.

The fees will also be subject to annual reviews once the scheme is operational, with changes possible as more information becomes available on costs, contracts and the performance of the system.

Exchange For Change said it had developed the proposed fee structure following consultation with businesses across the drinks supply chain.

Responses were received from producers and retailers of varying sizes, with the organisation saying the feedback had helped shape both the proposed rates and the approach to setting them.

The announcement follows confirmation from Exchange For Change that a flat 20p deposit will apply to all drinks containers covered by the scheme.

Consumers will pay the deposit when purchasing an in-scope container and receive the full 20p back when the empty container is returned.

Businesses intending to use chemically recycled plastic to meet Plastic Packaging Tax (PPT) recycled content requirements have been given greater clarity following the publication of new guidance from HMRC.

The updated guidance confirms how a mass balance approach (MBA) can be used to account for chemically recycled plastic content in plastic packaging for PPT purposes from 1 April 2027. The new framework introduces certification, record-keeping and audit requirements that organisations across the supply chain will need to meet if they wish to attribute chemically recycled content towards the 30% recycled content threshold.

HMRC guidance can be found via the following links:

• Preparing to use a mass balance approach for Plastic Packaging Tax
• Minimum certification requirements for a mass balance approach for Plastic Packaging Tax

What Has HMRC Announced?

HMRC has confirmed that any business using a mass balance approach to demonstrate recycled content from chemically recycled plastics must do so through a third-party approved certification scheme that meets HMRC's minimum requirements. The requirements apply throughout the supply chain, with all relevant businesses expected to hold the appropriate certification. Importers of finished plastic packaging will also need evidence that their suppliers are certified under a compliant scheme.

The guidance is designed to provide a consistent and auditable method for tracking chemically recycled material through complex manufacturing processes where physical segregation of recycled and virgin feedstocks may not always be possible. While chemically recycled content can be attributed to packaging using a mass balance system, businesses will be required to maintain robust controls and clear documentation to support any claims

Key Requirements for Businesses

Under the new rules, businesses using a mass balance approach will be required to:

• Operate a site-level mass balance system with a three-month accounting period.
• Ensure no negative mass balance occurs at any point.
• Apply site-specific conversion factors during processing.
• Use the fuel-excluded attribution method where outputs include fuel-use products.
• Maintain valid certification and supporting documentation.
• Retain attribution declarations and mass balance records for at least six years.
• Obtain a new attribution declaration each time material changes ownership within the supply chain.
• Undergo certification audits conducted by accredited certification bodies under approved schemes.

What is a Site-Level Mass Balance System?

A key aspect of HMRC's approach is the requirement for a site-level mass balance system. This means that recycled material entering a manufacturing site must be tracked and matched against the recycled content attributed to products leaving that same site, rather than being balanced across multiple facilities within a wider business.

To demonstrate compliance, operators will need detailed records covering:

• Quantities of chemically recycled material received.
• Processing losses and conversion factors used.
• Quantities of recycled content attributed to finished products.
• Opening and closing stock levels.
• Inputs and outputs of both recycled and virgin materials.

Who is Affected?

The guidance will only affect businesses that intend to use a mass balance approach for chemically recycled plastic when calculating recycled content for Plastic Packaging Tax purposes from April 2027. Companies that rely solely on mechanically recycled plastic will not be impacted by these requirements.

Manufacturers, converters, packaging producers and importers should now review their current systems and supply chain arrangements to assess whether additional certification, documentation or process controls will be required ahead of implementation.

Looking Ahead

The publication of these requirements marks an important step in HMRC's efforts to establish a recognised framework for chemically recycled plastics within the Plastic Packaging Tax regime. Businesses planning to utilise chemically recycled feedstocks should begin preparing now, ensuring that their mass balance systems, record-keeping processes and certification arrangements align with the new requirements ahead of the April 2027 implementation date.

For further information, HMRC has published guidance on preparing to use a mass balance approach and the minimum certification requirements that certification schemes must meet.

Local authorities are being encouraged to register for the government’s Digital Waste Tracking (DWT) service as preparations continue for mandatory reporting in October 2026. This follows the legislation being passed by government earlier this year.

Defra has opened registration to councils that operate, manage or have responsibility for waste sites, giving them the opportunity to establish their accounts ahead of the first mandatory requirements.

The first phase of Digital Waste Tracking is scheduled to become mandatory in October 2026 in England and Wales, followed by Scotland and Northern Ireland in January 2027.

The requirements will vary between the four nations.

In England, waste received at permitted sites will generally need to be recorded, although household waste deposited by residents at permitted household waste recycling centres (HWRCs) is excluded.

For local authorities, the current scope in England is limited to sites handling commercial waste. HWRCs in Wales, Scotland and Northern Ireland are expected to enter the system during later phases.

Preparing for DWT

Defra is recommending that local authorities register before the mandatory reporting requirements begin.

Early access will allow councils to establish their “Report receipt of waste” service account, allocate users and permissions, and agree reporting arrangements for sites operated by contractors.

It will also give staff time to become familiar with the platform and prepare for submitting information once reporting becomes compulsory.

Councils are being advised to assess their reporting responsibilities across their sites and contractors and decide how they will submit information.

Available options are expected to include direct submission through an API for operators using compatible waste management software, as well as a spreadsheet-based route.

Defra has also stressed that existing waste recording requirements will continue to apply during the transition to DWT.

Local authorities that took part in the private beta will need to complete registration again before the system becomes mandatory.

Local authorities across the UK can now access a new online platform to manage pEPR grant information.

The Local Authority Payments (LAPs) service, developed by PackUK for the four UK nations, gives councils a single platform to view documentation and information relating to their EPR for packaging grant payments.

Users will be able to view and download notices of assessment, grant determination letters and remittance documents through the platform.

The service also allows authorities to check and confirm payment information, submit queries and request support.

Local authorities can use LAPs to manage authorised users within their organisation, with chief executive officers (CEOs) being invited to register initially.

A head of finance must also be registered to confirm the details used for the distribution of EPR for packaging payments.

PackUK explained that LAPs is an information and administration platform rather than a payment system. It does not calculate, process or transfer grant payments, and the launch does not alter how councils receive their EPR funding.

The Local Authority Payments Service

The platform was developed following engagement with local authorities, with councils from across the UK taking part in testing during June and July.

Feedback from the testing highlighted the ease of navigating the service and the benefit of having grant documentation available through a single platform, PackUK said.

Once an organisation has been given access, its authorised users will be able to view grant information and manage access to the service.

Guidance and support on EPR for packaging grants will also be available through LAPs.

The new service is part of PackUK's wider development of digital infrastructure for the packaging EPR scheme.

More than £1.4 billion was distributed to local authorities across the UK during the scheme's first operational year.

The funding is intended to support improvements to local recycling and waste management services.

UK Packaging PRO has appointed Kerry Easter as its new Chief Executive Officer, with Karen Graley taking on the role of Chief Operating Officer as the producer responsibility organisation prepares to move beyond its initial set-up phase.

The appointments mark the next stage in the development of the UK's packaging extended producer responsibility (pEPR) scheme operator, which represents more than 100 major producers, retailers and trade associations.

UK Packaging PRO has been established with support from a number of industry organisations, including the Food and Drink Federation (FDF) and the Industry Council for Packaging and the Environment (INCPEN).

Announcing the appointments, Chair Sebastian Munden said: "Kerry brings exceptional international experience of leading complex supply chains, transforming organisations and embedding sustainability across major consumer businesses.

"Karen brings deep expertise in packaging policy and producer responsibility, alongside the operational knowledge and relationships developed through UK Packaging PRO's establishment and mobilisation.

"Their complementary experience will give the organisation the strategic leadership, continuity and operational focus it needs for its next stage of development."

Jeremy Blake, Chief Executive of PackUK, also welcomed the appointments.

He said: "These appointments are an important step for UK Packaging PRO as it moves from mobilisation into delivery.

"Together, they give UK Packaging PRO the leadership, operational discipline and stakeholder focus needed to help build an effective, efficient and evidence-led packaging EPR system across the UK."

Kerry Easter Appointed as PRO CEO

Easter joins the organisation after a career spanning supply chains, manufacturing, quality, innovation and business transformation across the food, drinks, beauty, personal care and retail sectors.

Before joining UK Packaging PRO, she was Global Head of Category Supply Chain for Gin, Rum and Vodka at Diageo.

Her previous roles also include senior positions at Unilever and The Estée Lauder Companies, while she was also a co-founder of Rituals.

Easter commented: "I'm delighted to be joining Sebastian, Karen and the team in this exciting growth phase of UK Packaging PRO and wider packaging circularity across the UK.

"My immediate priority will be to engage with the organisation's partners and stakeholders, taking input to build on the foundations already established.

"We will ensure that UK Packaging PRO develops the appropriate strategies, capability and discipline required for a successful next phase."

Karen Graley to Oversee PRO Operations

As Chief Operating Officer, Graley will be responsible for developing UK Packaging PRO's operational capability, governance and delivery arrangements.

She has been closely involved in the organisation's establishment and mobilisation and brings experience across retail, FMCG, packaging, environmental compliance and producer responsibility. Graley added:

"I am looking forward to building UK Packaging PRO into an organisation that is trusted by producers, respected by its partners and recognised for delivering practical results."

"I look forward to working alongside Kerry, our Board, our growing team, PackUK and partners across the value chain to build the capability, relationships and momentum needed to make packaging EPR work effectively and deliver meaningful, measurable improvements."

An estimated 4.3 million mini-fans are likely to be thrown away in household rubbish bins this year, according to new research from Material Focus. The latest surge mirrors a trend seen in July 2025, when demand for portable fans rose sharply during periods of hot weather.

The organisation said demand for the portable cooling devices has increased sharply during this summer's hot weather, with around 7.9 million mini-fans expected to be bought across the UK in 2026.

Material Focus said the figures illustrate the rise of so-called "FastTech" products – inexpensive electrical items designed for convenience, including mini-fans, charging cables, earbuds and novelty gadgets, which are often discarded after limited use or left unused in homes.

What is "FastTech"? FastTech refers to inexpensive, mass-produced electronic gadgets with short lifespans that consumers often treat as disposable and discard after minimal use.

Scott Butler, Executive Director of Material Focus, said: "Mini-fans, one of the poster children of FastTech, first appeared en masse last year and more are surging onto the market during this heatwave, helping us deal with this extreme heat.

"However, as quickly as they are bought, many are thrown away or lie forgotten at the bottom of our drawers of doom."

The not-for-profit said online interest in mini-fans rose significantly during June's heatwave, with Google searches for the products more than twice as high as in the previous month.

Although the devices have become increasingly popular during spells of hot weather, Material Focus warned that they are frequently disposed of incorrectly despite containing materials that can be recovered and reused, including copper, lithium and small quantities of gold.

If mini-fans are placed in general household waste, those resources are lost when the products are sent for disposal through landfill or energy recovery rather than being recycled.

Butler added: "What we should do instead is make sure if it doesn't work anymore we safely recycle it.

"Search up recycle your electricals to find your nearest recycling point."

There are approximately 30,000 locations across the UK where small electrical items can be recycled, including household waste recycling centres, participating supermarkets and electrical retailers.

The organisation is encouraging people to recycle unwanted mini-fans through these collection points rather than disposing of them in their household waste.

The government has confirmed that the introduction of mandatory kerbside collections for plastic films and flexible packaging in England has been postponed until 1 April 2030.

Under the original Simpler Recycling regulations, councils were due to begin collecting these materials from households by 31 March 2027.

However, following ongoing concerns about the availability of processing infrastructure and viable end markets, Defra has delayed the requirement by three years.

The department announced the change last week, with updates to the Simpler Recycling regulations expected to be made during the next parliamentary session.

The postponed requirement covers a range of commonly used flexible plastic packaging, including crisp packets, bread bags and reusable shopping bags.

Gareth Rollings, Chair of the Local Authority Recycling Advisory Committee (LARAC), said: "LARAC welcomes the Government's intention to move the mandatory collection date for plastic films and flexibles to 1 April 2030.

"This reflects the concerns that our members have consistently raised about the readiness of the wider system and the financial and operational consequences for local authorities.

"The additional three years must now be used constructively by government and industry to build that infrastructure and provide local authorities with the clarity they need to plan."

The challenge of flexible packaging

Flexible packaging is often made from multiple polymers – including polyethylene (PE), polypropylene (PP), PET and others – combined with inks, adhesives and barrier layers such as aluminium.

These multi-material structures deliver performance benefits but complicate both mechanical and chemical recycling.

At the same time, recycled flexible plastics struggle to compete with virgin polymer produced in large-scale, highly optimised facilities. Recycling plants tend to operate at far smaller scale, with higher costs and less mature technology.

The FlexCollect programme, which concluded in September 2025, found that although collections could be successfully introduced, the UK still lacks enough recycling and reprocessing capacity to deal with the volumes expected once mandatory collections are rolled out nationwide.