The four UK Governments' consultation on improving the Packaging Recovery Notes (PRN) system ran from 26 March to 21 May 2022 and proposals were intended to address some of the issues identified in the current system, including PRN and PERN price volatility, a lack of transparency, and the potential for fraudulent issuing of PRNs and PERNs.

The Governments have now published the summary of respondents' responses, and the next steps for policies: https://www.gov.uk/government/consultations/packaging-waste-recycling-notes-reform

Changes to the PRN  and PERN  systems that will be introduced following consultation: 

  • monthly reporting of reprocessing and export data by reprocessors and exporters
  • monthly price and revenue data reporting by reprocessors and exporters
  • amendments to the reporting categories for the revenue received from the sale of PRNs by reprocessors and exporters
  • a competence test for reprocessors, exporters and Compliance Scheme operators

These changes will be implemented alongside the wider Extended Producer Responsibility (EPR) for packaging reforms.

Defra and the devolved administrations will continue to monitor this approach to the PRN  and PERN systems and will review this in 2026 to 2027.

Key decisions have been taken in relation to DRS in Scotland and wider DRS/PRNs and EPR payments.

  • Once a DRS system is in operation in Scotland (from August 2023), producers of in-scope packaging will have obligations under DRS to collect this packaging, or have it collected by a scheme administrator, for recycling. Given this, the recycling obligations under the packaging producer responsibility system currently placed on drinks containers in scope of a Scottish DRS will no longer apply and as a result this material will no longer have to obtain PRNs to evidence its recycling. 
  • Producers of packaging that will be in scope of the DRS system (ie. drinks containers) will not be required to pay the EPR fee payments to local authorities for that material before the DRS system is in operation. They will, however, be required to continue to purchase PRNs/PERNs on this material until the DRS system is in operation.