The Treasury has confirmed that landfill tax will continue to rise annually with inflation for the next two years.
In chancellor Philip Hammond’s Budget documents, the standard rate is set at £86.10 per tonne from 1 April 2017, rising to £88.95 per tonne a year later.
The lower rate will be £2.70 from April this year then £2.80 in 2018.
The document confirmed: “Budget 2016 announced that both the standard and lower rates of landfill tax would rise in line with RPI in 2017-18 and 2018-19.”
There have been no indications of what the rates beyond 2019 will be.
As MRW reported, Hammond announced a consultation on extending the scope of landfill tax to illegal disposals of waste, following the lead in Wales and Scotland.
He also said the Landfill Communities Fund would remain at £39.3m and the cap on contributions by operators would be raised to 5.3%, which will thereafter be maintained.
Landfill tax rise