Retailers are facing a more than £100m increase in packaging costs this year after the average price of plastic Packaging Recovery Notes (PRNs) more than doubled, according to the British Retail Consortium (BRC).

BRC analysis found the average price per tonne of plastic PRNs has risen from around £180 in 2025 to more than £370 in 2026.

The trade body said the increase will add a little over £100m to retailers’ total plastic PRN bill, warning that the extra costs could ultimately be passed on to consumers.

The BRC is calling on the Government to phase out the PRN system and incorporate it into the £1.5bn-a-year Extended Producer Responsibility (EPR) scheme.

The organisation argues that the current system leaves retailers facing three overlapping packaging costs through PRNs, the Plastic Packaging Tax and EPR.

“The Packaging Recovery Note system is outdated, inefficient, and completely unnecessary,” said BRC director of food and sustainability Andrew Opie.

“Rather than charging retailers – and ultimately consumers – three separate times on the packaging they use, government should streamline this process and run recycling through its flagship EPR scheme.

“This would allow the government to save businesses and households £100m, without compromising the UK’s recycling efforts. We need Government to simplify the system by folding PRNs into a single EPR framework.

“Furthermore, if they want to make a real difference to UK recycling rates, EPR funds must be ringfenced, guaranteeing that all money raised is used by local councils to create and operate a world class recycling system that collects and processes as much recyclable material as possible.”

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