THE Metal Packaging Manufacturers Association (MPMA) has urged the UK Government to recognise metal packaging as a strategic national asset and create the aligned policy conditions needed to unlock the sector’s full potential.
The trade association is warning that reforms spanning Extended Producer Responsibility (EPR), Deposit Return Schemes (DRS), steel tariffs, energy and the Carbon Border Adjustment Mechanism (CBAM) are having ‘unintended consequences’ for an industry that contributes more than £4 billion to the economy and supports over 4,000 skilled jobs.
The MPMA, representing its membership, comprising companies producing aluminium and steel cans, as well as closures, for food, beverages and household products, has now published a manifesto calling for:
- A review of EPR fees based upon facts. Currently EPR charges are more per container for steel food cans than competing plastic and fibre-based composite cartons making ‘material switching’ away from steel attractive to businesses and brands.
- EPR to accurately reflect the value metal packaging brings to the circular economy and not incentivise the use of competing materials that are less circular and already incentivised by having no CBAM or import tariffs and are easily imported.
- No EPR fee discount to be given to glass as the cost will land disproportionately on metal packaging.
- The introduction of a variable rate DRS deposit alongside reforms to support aluminium can to can recycling and retain valuable scrap within domestic supply chains.
- No further cuts to packaging steel import tariff-free quotas.
- The recognition and support for the growth of the UK metal packaging sector and off-take for UK-made steel and UK recycled metals through policy review with the MPMA.
- CBAM to extend to filled steel and aluminium packaging.
- The expansion of the British Industrial Competitiveness Scheme (BICS) to all manufacturers across the metal packaging value chain and to add a gas subsidy to BICS for metal packaging manufacturers.
- Climate Change Levy and Climate Change Agreements to be maintained beyond 2033 to avoid an energy efficiency policy vacuum.
- The introduction of grants and discounts for electrification to ensure long-term competitiveness and decarbonisation.
Jason Galley, director and chief executive of MPMA, said, “The MPMA Manifesto sets out a practical case for change outlining how policy impacting metal packaging should be assessed not only through the lens of circularity and waste management but also for its strategic contribution to economic prosperity, public health, food security and national resilience.
“Defra and DBIST policies need to align to support domestic manufacturing and food security. In reality, interconnecting policy is combining to push businesses and brands away from metal packaging towards less circular alternatives, including plastics and fibre-based composite cartons. This risks driving packaging and food manufacturing overseas despite the metal packaging sector being central to the delivery of key government objectives on circularity, resource efficiency and steel and critical mineral strategies.
“We know the government faces a challenging set of competing priorities against a backdrop of renewed focus on national resilience. Our industry is a strategic national asset and we are well placed to help deliver a range of government goals. A competitive domestic metal packaging sector helps maintain skills, technologies and expertise that are vital to the UK’s wider industrial and defence capacity while providing regional skilled jobs that are central to the reindustrialisation and devolution agenda.”
The MPMA Manifesto highlights that UK emergency preparedness is not only about critical infrastructure, but also ensuring people can access food and water during periods of disruption.
The organisation explained that metal packaging provides households with safe, nutritious food when cooking or refrigeration is unavailable, as canned food is pre-cooked and ready to eat. Combined with a shelf life of up to five years, canned food is described as ‘uniquely placed’ to support households and communities during a crisis.
Galley added, “If policy action isn’t taken then the harm to the metal packaging sector and the wider industrial ecosystem is significant. Offshoring will become the norm as packaging production and food manufacturing move overseas, with UK-made products replaced by easily imported alternatives. This would damage the competitiveness of the metal can while increasing the UK’s dependence on overseas supply chains.”
