apetito, the leading provider of meals to the Healthcare, Care Homes, Education and Social Care sectors, has welcomed the Government’s announcement to introduce an offset for closed-loop recycling schemes from Extended Producer Responsibility (EPR) regulations – marking a pivotal step forward in the investment of a more circular economy.

In 2021, apetito launched “Project Boomerang”, the world’s first closed-loop recycling system for ready meal trays on an industrial scale. Through this scheme, it has successfully collected over 35 million meal trays back from its customers, and is achieving collection rates close to 50%, with a 100% guarantee that all of the trays collected are reformed into new trays for its meals. This is a significant improvement on household recycling, where only 38% is collected and then close to half of that is sent abroad for processing, often with uncertain results.

EPR regulations aim to shift the waste and recycling costs of packaging from local authorities to the businesses that produce it - a principle that apetito is highly supportive of. However, when first announced, the regulations failed to make provision for closed-loop schemes, thus penalising those that had made significant investments in promoting true circularity.

This announcement not only encourages apetito’s continued investment in its innovative circularity system without fear of having to pass associated costs onto its customers but reflects the Government’s commitment and willingness to invest in doing the right thing and drive a circular economy that undoubtedly brings real change for the planet.

Lee Sheppard, Director of Corporate Affairs, Policy and Sustainability at apetito said:

“As a business committed to doing the right thing, we have always fully supported the principles of EPR and recognise the need for the Government to tackle the growing problem of packaging waste. However, when the proposed regulations were announced we were concerned that there were serious omissions, particularly around the approach to closed-loop recycling schemes.

“We have committed significant investment to our “Project Boomerang” which we know delivers far superior environmental results when compared to kerbside recycling. However, we were to be taxed as if all our customers’ meal trays were being put in household recycling, when in fact we take circa 50% of those trays back ourselves, completely bypassing the system.

“Over the last few years, we have worked tirelessly to persuade Government to reconsider its EPR regulations regarding closed-loop schemes, from inviting MPs to our Wiltshire Farm Food Depots across UK, working closely with DEFRA, hosting Parliamentary drop-in sessions for MPs, and achieving national media coverage including a published letter in the Financial Times. Everyone we spoke to agreed that the legislation as it stood was patently unfair and penalised companies like apetito that have committed and invested in doing the right thing. We’re extremely pleased to see that Government has listened and announced the offset for closed-loop recycling schemes within the legislation.

“After being told in July 23 that we would not be taxed for our closed loop system, we are delighted that nearly two years later, this has now been reflected in the amended EPR legislation. We applaud the Government's decision to support such schemes, which align so closely with its ambition to restore and enhance the environment for future generations. As a business we remain committed to our mission of sustainability and innovation and are pleased the Government sees the value in investing in the circular economy for packaging.”