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Lords recommend business waste tax reforms

Aug 21 2008

The House of Lords has recommended changing tax laws in order to help discourage offices and workplaces from wasting raw materials.

According to the house's science and technology committee, variable VAT rates should be introduced to put more pressure on firms and encourage them to cut down on materials usage.

Thus far, the body says, emphasis has been put on restricting the activities of householders, who account for only nine per cent of the UK's total wastage.

Firms questioned by the group report that each company should be made responsible for their own waste.

Under the plans, tax on landfill will rise by £8 per tonne each year until 2011 and businesses will be encouraged to repair rather than replace long-lasting items.

The committee claims this would help counter today's 'throwaway' culture.

Lord Martin O'Neill said this would ensure that 'manufacturers who behave irresponsibly face financial consequences and those who are doing the right thing are supported'.

Supermarket chain Sainsbury's is to use a bio-methane combination fuel generated through gas from landfill sites to power some of its lorries.

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