Nick Pinkerton

EPR’s Impact on Retailers: Navigating New Costs and Challenges With the UK pushing forward sustainability efforts like Extended Producer Responsibility (EPR) and the Deposit Return Scheme (DRS), the recently released material rates guide is helping businesses grasp the financial and operational implications. These policies aim to reduce environmental impact and promote innovation, but it’s not always clear how they will drive the creation of green jobs or offer support to businesses already investing in sustainable practices. For example, companies in Scotland that have installed DRS machines are questioning whether they should still bear the costs of Packaging Recovery Notes (PRNs) for 2023/24, given their proactive investments in recycling infrastructure. Key Impacts on Retailers: look Rising Costs: EPR shifts the financial burden of waste management to producers, leading to higher operational costs for retailers. This could increase the price of everyday items as businesses pass on these costs to consumers. Compliance Challenges: Retailers will need to track and report their packaging use more rigorously, adding complexity to their operations. Unclear Benefits: While EPR aims to foster innovation and sustainability, there is limited clarity on how these initiatives will translate into direct business benefits, such as green jobs or reduced compliance costs for early adopters. Retailers need clearer guidance on exemptions and a direct link between sustainability investments and business incentives to ensure these initiatives drive both environmental and economic benefits. https://lnkd.in/etVqF3fF

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WHAT’S HOT ON SUSTAINABILITY TRENDS FOR 2024?     Among the UK sustainability trends for 2024, I’m pleased to see that improving #recycling and #WasteManagement are priorities; there’s emphasis on #packaging, carbon neutrality and environmental, social and governance (ESG) targets. For business leaders, understanding and integrating ESG goals is key to balancing sustainability with digital transformation. And, with eco-conscious consumers holding companies under closer scrutiny, business leaders can no longer gloss over sustainability targets. I’m encouraged to read that for many consumers, sustainable credentials are a dealbreaker. 75% of UK consumers consider environmental commitments when making purchases. Research shows that 60% of shoppers prefer brands with returnable packaging over single-use options. The Food Waste Reduction Roadmap aims to halve #FoodWaste by 2030, while the #PlasticPackagingTax incentivises businesses to use recycled materials. The upcoming ban on single-use plastics in Europe is also motivating companies to take action (EU regulations aim to ensure all packaging is recyclable by 2035, reflecting a growing emphasis on sustainable practices in the food industry). The focus on achieving carbon neutrality in the UK is driven by regulatory requirements as well as consumer demand for #sustainable practices. Businesses are implementing various strategies to reduce #CarbonEmissions, including energy efficiency improvements, carbon offsetting, sustainable #SupplyChain practices, and green product innovation. There are new challenges, however, when trying to balance technological innovation with sustainability, i.e. energy consumption when using high performance AI solutions – which is something that’s going to affect every sector so it’s worth watching that space. Read more here: https://lnkd.in/eBTrauyZ

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