BAA and WATA announce new collaboration
British Aggregates Association and Washed Aggregates Trade Association join forces over landfill tax concerns
THE British Aggregates Association (BAA) and the Washed Aggregates Trade Association (WATA) have announced the start of a new collaboration that will see the two associations working together to advise and guide the Government on the proposed landfill tax levy, which, they say, if left unchallenged, will significantly affect the aggregates sector.
Conversations have been held with HMRC, the Environment Agency (EA), and the Treasury regarding the potential impact on the sector, the understanding of the EU waste codes, and how these have been interpreted regarding landfill tax rates.
The tax is charged by weight: a lower rate of £3.30 per tonne in 2024–25 for ‘inactive waste’ (such as rocks or soil), and a standard rate of £103.70 per tonne in 2024–25 for all other waste.
By 2025/26, the standard rate of landfill tax is set to escalate to £126.15, and the lower rate will increase to £4.05 per tonne, as announced in the last budget by former Chancellor Jeremy Hunt.
In light of these significant increases, the BAA has collaborated with the Washed Aggregates Trade Association and created three steering groups (technical, legal and educational) to assist, inform, and challenge the measures.
The technical group will focus on the technical elements of waste categorizing and linking to the current waste codes, which will affect the tax rate. Numerous EU codes are allocated at BAA members’ sites, which have already caused significant issues that require clarification.
Having worked with respected legal entities to challenge the current situation, the legal group will focus on a considered response to HMRC and the EA, which may set a benchmark for the sector.
The educational group will focus on guiding HMRC, the EA, and local authorities regarding the waste codes and the rate they should attract.
BAA chief executive officer Mike Phillips commented: ‘The BAA always takes a collaborative approach to provide value to its membership and ensure the best outcome for our sector. This collaboration with WATA further demonstrated our commitment to working together for a stronger industry.’
WATA chief executive officer Andy Hill added: ‘Working with the BAA will strengthen both associations’ commitment to their members. This will undoubtedly be the first of many joint initiatives. We look forward to working together and ensuring the best outcomes for our members.’