Final pEPR Fees and 2026 Modulation Framework Announced
‘Final’ EPR Disposal Fees announced
The final iteration of disposal fees has now been published in relation to invoices due to be sent to relevant producers in October 2025
Here you can see them alongside the third iteration of ‘illustrative’ disposal fees from 20 December 2024, and the relevant price differences.
These final confirmed fee rates are based on packaging data for the January-December 2024 period reported by UK producers (as of 9 June 2025, with adjustments applied – this represents the most accurate available packaging placed on market data) and Defra’s ‘Local Authority Packaging Cost and Performance’ model used previously.
Defra notes that differences in fee rates vs previous illustrative versions are the result of changes in the methodology for estimating missing data, changes to the modelling of local authority costs following industry and local authority feedback and a reduction in ‘bad debt provision’ from 6% to 4%.
When will producers be invoiced for their EPR disposal fees?
Producers will be invoiced through PackUK in October 2025. There will then be the option to pay your invoice off in full, or to spread this over four quarterly payments starting 45 days after the invoice date, roughly in Nov ‘25, Jan ’26, Apr, & Jun. Further details are expected to be shared by PackUK shortly.
Disposal fee modulation framework
During the Circular Economy Joint Stakeholder Forum on 1 April 2025, PackUK, the Scheme Administrator, revealed a preview of the potential fee modulation framework under pEPR. This modulation framework will be applied to 2026, to packaging placed on market in 2025.
For more information about the first draft of the modulation framework please see our previous news story
PackUK have today, 27 June 2025, published a modulation framework which sets out how EPR disposal fees will be modulated from 2026-2028 based on packaging recyclability. It is important to note that modulation will not increase the total disposal fees generated through EPR but rather impact how fees are allocated by material.
Modulation Factor
The modulation factor for packaging with a RAM assessment rating of RED is below. Additional funds raised through the RED modulation factor will generate money for redistribution to packaging with a RAM assessment rating of GREEN. AMBER rated packaging will be charged the base disposal fee.
Costs in the following table are using 2025/2026 disposal fee rates as a visual guide, final fees for 2026/2027 won’t be finalised until after April 2026. (all costs are in £ per tonne rounded to the nearest £5)
Medical packaging with a RAM assessment rating of RED as a result of regulatory requirements will be charged in line with an AMBER rating.
What’s Next?
PackUK are continuing to gather evidence in support of modulation and identify new factors which could apply in future fee modulation iterations. Further work is being done on a wider assessment of environmental sustainability with a view to future modulation encompassing more than just packaging recyclability.
Beyondly are here to help!
We are here to help you with your requirements to collect and store all data related to the new pEPR Regulations. Your Account Manager and our wider Packaging Team are on hand to help you digest all changes presented during the establishment of the new pEPR Regulations, and to help you prepare for future submissions.
If you have any queries or would like to discuss this further, please contact your Account Manager, or drop a message to packaging@beyond.ly.
We look forward to continuing to help you navigate the EPR Regulations now and in the future.