Measure
The government will set the value of the Landfill Communities Fund for 2023 to 2024 at £32.9 million, with the cap on contributions by landfill operators remaining at 5.3% of their Landfill Tax liability.
The government has also announced that it will develop a grant scheme to fund costs of Landfill Tax to public bodies in England, where such costs are acting as a determinative barrier to the remediation and redevelopment of contaminated land.
Businesses that are registered for and pay English and Northern Irish Landfill Tax, that make approved contributions to qualifying environmental bodies, and are able to claim a landfill tax credit under Landfill Communities Fund scheme should take note of the maintained contribution cap.
Public bodies in England should monitor any further announcements concerning the tax funding proposals.
The 5.3% cap will continue to apply from 1 April 2023.
No timeframe has been given in relation to the public body funding scheme.
The 5.3% cap has been in place since 1 April 2017 and so represents the status quo.
The tax funding scheme for English public bodies is likely to be welcome, although little detail has yet been published and it remains unclear how broad its application will be.