Aggregates industry groups challenge landfill tax changes

The British Aggregates Association (BAA) and the Washed Aggregates Trade Association (WATA) have announced a new collaboration to challenge planned increases to landfill tax, which could have significant consequences for the UK’s concrete and aggregates sector.

The two organisations will work together to advise and guide the government on the proposed changes, which will see landfill tax rates increase from April 2025. The tax is charged by weight, with the lower rate for inactive waste—such as rocks and soil—rising from £3.30 to £4.05 per tonne, while the standard rate for all other waste will jump from £103.70 to £126.15 per tonne.

Both associations have engaged with HMRC, the Environment Agency, and the Treasury to discuss how waste classification under EU Waste Codes is interpreted and how this impacts landfill tax rates. To strengthen their response, the BAA and WATA have created three dedicated steering groups:

• Technical Group – This group will assess how waste categorisation affects tax rates and seek clarity on EU Waste Code classifications at member sites.
• Legal Group – Working with legal experts, this group will develop a formal challenge to HMRC and the Environment Agency regarding tax interpretations and potential industry benchmarks.
• Educational Group – This group will engage with HMRC, the Environment Agency, and local authorities to ensure a better understanding of waste codes and appropriate tax rates.

Mike Phillips, chief executive of the BAA, said: “The BAA always takes a collaborative approach to provide value to its membership and ensure the best outcomes for our sector. This partnership with WATA reinforces our commitment to working together for a stronger industry.”

Andy Hill, chief executive of WATA, added: “Working with the BAA strengthens both associations’ ability to support their members. This will be the first of many joint initiatives to ensure the best possible outcomes for our sector.”

For further information, contact Mike Phillips or Andy Hill.