Measure

Landfill Tax rate increase for 2023-4

The measure

The government will increase the standard and lower rates of Landfill Tax in line with RPI, rounded to the nearest 5 pence. The increases are only relevant to the Landfill Tax regime in effect in England and Northern Ireland.

From 1 April 2023 the standard rate will be £102.10 per tonne, and the lower rate will be £3.25 per tonne.

From 1 April 2024 the standard rate will be £103.70 per tonne, and the lower rate will be £3.30 per tonne.

 

Who will be affected?

Businesses that are registered for English/Northern Irish Landfill Tax (namely landfill site operators), and other parties in the supply chain (e.g. waste processors) that could bear the tax cost as part of their contractual arrangements. 

 

When will the measure come into effect?

From 1 April 2023.

Our view

The rate increase reflects the rate of inflation and is neither unexpected nor unusual. Affected businesses will however have to consider the impact on their operations, given the capacity for the tax to present an absolute cost where tax relief or exemption is not available.