Landfill tax receipts fall for first time in 2009/10

Receipts from landfill tax in the 2009/10 financial year have fallen for the first time since 1998, according to the latest figures reported by MRW.

HM Revenue & Customs’ (HMRC) historic landfill tax revenue data reveals that although tonnages sent to landfill have been gradually falling since 2000/01, actual receipts from escalating landfill tax have only begun to fall in the last financial year: reducing from £954m in 2008/09 to £842m in 2009/10.

But calendar year figures indicate that the reduction in landfill tax first fell in the year before, when receipts dropped from £923m in 2008 to £833m in 2009. It has subsequently increased to £1.05bn in 2010, according to provisional figures.

Whilst these figures may reflect the economic downturn, they are also an indicator that the Landfill Tax Escalator has had a significant impact on the way organisations treat their waste. With the landfill tax increase due on 1 April this trend is set to continue.

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