New figures show that £1.1 billion worth of glass, metal, plastic and paper has been sent for recycling in England since 2003 and the rate is going up by an annual average of 30 per cent a year.
Campaign group Recycle Now showed that the amount of rubbish being sent for recycling has almost doubled over the last five years, which has contributed to the increase.
Latest statistics from the Department for Environment, Food and Rural Affairs show that England has recycled 33.8 million of its household waste from the period 2003/04 to 2007/08.
Recycle Now spokeswoman Laura Underwood said: Recycling is a success story and its having a major impact. Weve saved 30 million tonnes of CO2 which is the same as taking a third of our cars off UK roads for a year. Research proves recycling is the best case scenario for both the environment, and our pockets, so theres every reason to keep a good thing going.
In the past year alone households have recycled 3.3 billion aluminium cans, enough to stretch around the world 10 times. Families have also recycled eight billion steel food tins, 2.1 billion 75cl wine bottles and 6.6 billion newspapers.
While current global demand for recycled material has been affected by the economic downturn, latest survey results indicate that UK recycling markets are stabilising, with prices rising for higher quality materials.