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£110m cost to taxpayers of landfill tax escalator extension


Source: Materials Recycling Week

The Government’s landfill tax escalator extension will add a total of £49 a year to council tax bills by 2014, according to new figures from the Local Government Association.

Councils are currently charged £48 for every tonne of waste they throw into landfill and this amount will increase by £8 each year to £80 by 2014.

The LGA has reiterated its call to the Government to fulfil its promise to return extra money it raises from the landfill tax to councils. Town halls claim that this will allow more money to be invested in recycling services so less rubbish ends up in landfill.

LGA environment board chairman councillor Gary Porter said: “Landfill tax is quite literally costing council taxpayers the earth and this latest rise will only add to the bill. The fear is that householders could ultimately pick up the extra cost. Dumping rubbish in a hole in the ground isn’t bad for the environment, it threatens to hit the council taxpayer in the pocket unless we cut back.

“It’s more important than ever that people recycle as much as possible. If we don’t reduce landfill, councils and council taxpayers could soon face further European Union fines of £150 for every tonne of rubbish that is landfilled above a set amount.

“Despite repeated requests, the Government is yet to demonstrate in a clear and transparent way how landfill tax is being given back to local authorities. Councils could use money paid in landfill tax to keep council tax down and build the waste and recycling facilities this country needs.”

According to the Department for Environment, Food and Rural Affairs municipal waste statistics, in 2008/09 councils sent 13.8 million tonnes of waste to landfill. The LGA claims that at this rate, in 2013, at £72 per tonne, councils will pay £994m to the Government in landfill tax. In 2014 at £80 per tonne, this will rise by £110m to £1.104bn.

£110m cost to taxpayers of landfill tax escalator extension

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