BPF calls for companies to report fraudulent recycled material claims

The British Plastics Federation (BPF) – the UK’s leading trade association representing the entire plastics supply chain, including plastic recyclers – is encouraging companies to report any fraud they encounter regarding false claims of recycled content in plastic products to the Environment Agency.

There is concern that some companies may be claiming that their products contain recycled content, when they do not, or that the amount of recycled content within products is being exaggerated. The motive for this could be to avoid the paying the Plastic Packaging Tax (PPT) or – for non-packaging products – to make false claims to assist marketing efforts.

For many years, the trade association has argued that a verification and/or certification scheme is needed to reduce fraud. It feels systems have to be agreed at a national – and ultimately international – level to ensure a level playing field that does not disadvantage companies doing the right thing, while also ensuring the best outcome from the environment by maximising the use of recycled plastic, where possible.

Although the BPF hopes that companies will report fraudulent activity, it also feels more robust action should be taken against companies that commit fraud. Investment in UK recycling infrastructure is also required, it argues, as increasing domestic recycling will make material easier to trace and reduce the opportunity for criminal activity. 

The BPF sent a letter to HMRC, highlighting its concern of potential fraud within the PPT in 2024. It would like the issue to have a higher profile amongst parliamentarians, so that solutions can be reached to minimise opportunities for fraud. The trade association is aware of companies that claim to have been put out of business as a result of PPT-related fraud.

Examining this issue in detail, in 2022, the BPF and environmental charity RECOUP released a guide called Recycled Content Verification Systems, which is available to download for free online. The BPF has also run events looking at the various issues relating to recycled plastics, with the next — The Challenges of Incorporating Recycled Content in Plastics Packaging — taking place on 13 May.

BPF Sustainability Manager Helen Jordan states:

Let’s remember that almost all companies have integrity and always try to act according to the law. However, a few bad actors can potentially tarnish the reputation of the entire industry and blight the image of recycled plastics in the eyes of the public. Companies that commit fraud also make it more difficult for legitimate companies to thrive.

Recycled plastic is a low-carbon material, suitable for use in a huge number of products – not simply packaging. We’d like the government to encourage investment in improving the UK’s plastic recycling infrastructure while also taking steps to minimise opportunities for fraud. And we call on companies to report any instances of fraud they encounter to the Environment Agency so that appropriate measures can be taken against them. The more fraud is reported, the more it will be on the minds of those in government.