Turnover Threshold
The minimum annual business turnover required for a company to be classified as an obligated producer under EPR. Currently £1 million for small producers and £2 million for large producers.
The turnover threshold is one of two criteria (alongside packaging tonnage) that determines whether a business is an obligated producer under pEPR.
Current thresholds:
- £1 million — minimum turnover to be a small producer (25-50 tonnes)
- £2 million — minimum turnover to be a large producer (50+ tonnes)
Turnover is based on the business's total annual turnover, not just packaging-related revenue. For group companies, the group turnover may apply. Key considerations include: whether VAT-exempt income counts, how to treat part-year trading, and how group structures affect the calculation. Businesses close to the threshold should monitor their turnover carefully as crossing it mid-year triggers obligations. The turnover thresholds may be reviewed by DEFRA over time. If your turnover is below the threshold, you are a non-obligated producer.
Related Terms
Obligated Producer
A business that meets the legal thresholds for packaging tonnage and turnover, m...
Large Producer
A business handling more than 50 tonnes of packaging per year with turnover abov...
Small Producer
A business handling between 25 and 50 tonnes of packaging annually with turnover...
Non-Obligated Producer
A business that falls below the EPR tonnage or turnover thresholds and is theref...
Obligated Tonnage
The total weight of packaging a producer handles annually, used to determine whe...
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