Pub and restaurant bosses warn new eco tax will hike prices and lump industry with millions in extra costs
PUB and restaurant bosses want a U-turn on an eco tax that will push up prices.
They teamed up to warn the packaging tax will lump the industry with millions of pounds in extra costs.
The EPR (extended producer responsibility) will charge retailers or producers per tonne of packaging that they use.
The idea is that businesses pay the recycling costs, rather than councils.
As glass bottles are heavier than other packaging, it could end up adding 12p extra to a bottle of wine and 6p to a bottle of beer.
UKHospitality chief executive Kate Nicholls said: “These absurd packaging rules will undoubtedly see the price of a pint or a bottle of wine go up.
“We need to see Defra urgently act to exempt hospitality businesses from EPR fees.”
Stonegate, the UK’s largest pub company, Fuller’s, Marston’s and Punch Pubs alongside campsite owner Parkdean Resorts, Burger King, and the owner of Ask and Zizzi restaurant chains are among those who have written to Environment Secretary Steve Reed to blast the “nonsensical” tax, saying: “Hospitality businesses will be forced to pass at least some of the additional cost on to their customers, as their suppliers have done to them.”
Domino’s Pizza boss Andrew Rennie told The Sun the new levy will lead to higher prices, saying: “It’s adding to inflation.
“It’s another significant increase in costs and it’s still not clear what fees we will face.”
SHREDDIES JOBS CULL
THE maker of Shreddies and Cheerios is set to axe more than 300 jobs and shut one of its factories as people lose their appetite for breakfast cereals.
Cereal Partners Uk & Ireland, the maker of Nestle cereal brands, said that the closure was necessary as its sales were “in significant decline owing to the changing habits of UK and Irish customers”.
The firm is planning to close its factory in Bromborough, Wirral, below, and shift production to another factory in Wiltshire.
The move will impact 314 workers.
A spokesman said the firm was facing “greater competition from alternative breakfast options”.
More Brits are now choosing healthier starts to the day, such as fresh fruit and eggs.
Shreddies used TV’s DIY expert Nick Knowles for its “Shreddie for Anything” campaign four years ago in an effort to boost sales.
£40M WATER HIT
YORKSHIRE WATER has been ordered by Ofwat to pay £40million to address failings over wastewater and sewage.
The regulator said a probe found “serious failures” in how it operated and maintained its sewage network.
Ofwat said this resulted in excessive spills from storm overflows — which is when sewage leaks into rivers and is not diluted by rainwater.
It announced yesterday that the company has admitted to its failings and agreed to comply with the enforcement package as a result.
RESCUED IN STYLE
FAST-fashion brand In the Style has been snapped up, rescuing it from administration.
The online retailer floated in 2019 with a market value of £105million, making its founder, Adam Frisby, a fortune.
But a collapse saw it sold to investors at BAAJ Capital for just £1.5million in 2023.
Since then, the business has struggled with cash flow issues and “significant debts”, leading administrators at FTS Recovery to be appointed.
But Alps Sourcing Ltd, linked to Baaj, has now bought the firm, saving 87 jobs.
DOUBLE DIY GIRLS ALLOWED
WICKES is targeting more female DIY enthusiasts to help drive sales, as cash-strapped Brits hold off on new bathrooms and kitchens.
Chief executive David Wood said women accounted for only one in six customers three years ago but the figure was now one in three.
Mr Wood said Wickes had “softened the brand” by bringing in more decorations and gardening products, and collaborations with Girls Aloud singer Kimberley Walsh on a range of paints.
The home improvement retailer yesterday posted an overall 1 per cent drop in revenues to £1.5billion, helped by a 1.9 per cent rise in retail sales to £1.2billion, while its design and installation business suffered a 10 per cent fall in sales.
Adjusted profits fell by 8.7 per cent to £67.4million on the back of a slowdown in “big ticket sales” in the past year.
A HEAVY METAL HIT
THE London Metal Exchange has been fined £9.2million over a nickel trade debacle, with City watchdogs ruling systems and controls were “inadequate”.
The LME — the last market in Europe with an open-outcry trading floor — left junior staff in charge for six hours in 2022.
Prices soared and grew highly volatile, forcing it to freeze buying and selling of nickel.
Commodity trader ELLIOTT said it lost £352million in profit as a result of cancelled trades.
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