The Environment Act 2021 has introduced significant regulatory changes, granting the Environment Agency new civil sanctioning powers.
These tools aim to bolster compliance with emerging environmental regulations, including the Producer Responsibility Obligations (Packaging and Packaging Waste) Regulations 2024.
Unlike the existing civil sanctions under the Regulatory Enforcement and Sanctions Act 2008 (RES Act), these new powers can be applied regardless of whether a breach constitutes a criminal offence. This shift provides the Agency with a more flexible framework to enforce compliance.
A spokesperson for Defra stated: “Through the Environment Act 2021, we introduced a range of new civil sanctions that will give the Environment Agency a greater range of options to help ensure maximum compliance with incoming environmental regulations. The new civil sanctions will aid the Environment Agency’s ability to secure compliance… and enable it to take swift and proportionate enforcement action.”
The Environment Agency has announced its intention to revise its Enforcement and Sanctions Policy (ESP) to incorporate these new powers. A consultation on these amendments is currently underway.
Changes in packaging regulations
The Producer Responsibility Obligations (Packaging and Packaging Waste) Regulations 2024, which came into force on 1 January 2025, mark a cornerstone of this regulatory shift.
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By GlobalData
After a series of consultations since 2019, these regulations introduce extended producer responsibility, compelling businesses to take greater accountability for the environmental impact of their packaging.
To enforce these regulations effectively, the Environment Agency plans to integrate Environment Act 2021 sanctions into its existing policy framework.
According to the Agency, this involves updating its Offence Response Options and adding a new annex to the ESP. The annex will detail the methodology for applying variable monetary penalties, determining enforcement responses, and handling appeals.
Defra has also confirmed that similar regulatory developments are underway for the deposit return scheme and digital waste tracking. Consultations on these schemes were conducted in 2021 and 2022, and future updates to the ESP are anticipated as these regulations come into effect.
Public consultation: scope and objectives
The ongoing consultation seeks feedback on the proposed amendments to the ESP, with a focus on Annex 4.
This new section will clarify how the Environment Agency intends to use Environment Act 2021 sanctions, particularly for breaches related to the packaging regulations.
Key aspects of the consultation include:
- The methodology for calculating variable monetary penalties under the Environment Act 2021.
- The approach to accepting or rejecting enforcement undertakings.
- The appeal process for imposed sanctions.
The Environment Agency emphasised that the principles of the ESP remain unchanged. As outlined in the policy, the Agency’s enforcement approach prioritises stopping illegal activities, remediating environmental harm, and deterring future offences.
Feedback from stakeholders will help refine the proposed amendments. The Agency plans to publish a response document and the revised ESP on the GOV.UK platform once the consultation concludes.
This consultation does not cover existing annexes of the ESP, which remain unaffected. Instead, it focuses exclusively on integrating the new civil sanctioning powers enabled by the Environment Act 2021 into the broader enforcement strategy.
