2025 has been a turbulent year for the UK’s waste sector, with developments including the implementation of the Simpler Recycling for Businesses legislation, and a wave of closures in the plastics recycling sector. Waste Management firm BusinessWaste.co.uk presents its views on the stories that shaped 2025, and changes that might improve matters as we head into 2026.
1. Simpler Recycling for Businesses was introduced in March
The rollout of Simpler Recycling for Businesses on the 31st March required any organisation with 10 or more employees to separately collect dry recycling, food waste, and residual waste.¹
While the legislation aims to standardise recycling and improve material quality, official impact assessments acknowledge that separating additional waste streams often requires extra containers, changes to storage layouts and more frequent collections.² For many businesses, particularly those operating from smaller or shared premises, adapting their existing waste arrangements requires operational changes rather than just a simple switch.
Recent Industry reports have suggested that awareness of the new rules has improved, but that implementation remains inconsistent across sectors, with waste contamination and compliance still presenting some challenges in some workplaces.³
Mark Hall, waste management expert at BusinessWaste.co.uk, said:
“Simpler Recycling is a positive step in the right direction, but of course, it isn’t something that happens overnight. Separating food waste and recycling properly means changing how waste is stored, collected and managed day to day.”
“Nine months in, it isn’t surprising that not all sectors have managed to catch up, while the rules are there, clearer guidance and stronger enforcement will be key as we step into 2026 when the same rules will be implemented across households.”
2. Birmingham’s bin strikes highlighted how fragile local waste collection systems have become
Of all major waste stories in 2025, the Birmingham bin strikes attracted the highest level of Google search interest in the UK, generating over 12,000 Google Searches per month. Refuse workers in Birmingham took Industrial action at the start of this year, leading to widespread service disruption and uncollected waste building up across the city, alongside increasing reports of fly-tipping during the strike period.⁴ 343 days later, the dispute is still ongoing, with potential for strikes to continue as we head into 2026.
While the dispute was local, it reflects broader challenges occurring within councils across the country. Many local authorities are facing staff shortages, leading to rising waste volumes due to missed collections, prompting complaints from residents.⁵ If Birmingham’s case tells us anything, it’s how quickly disputes between workers and their employers can turn into a situation that affects an entire city.
3. The further collapse of the plastics recycling sector
The plastics recycling sector faced sustained pressure throughout 2025, with at least 21 processing facilities experiencing closures or entering administration.⁶ High energy costs and weak demand for lower-grade recycled plastics mean it is no longer as viable for plants to remain open.
This has contributed to the UK exporting the majority of its plastic waste to countries such as Turkey and Malaysia, where processing costs are significantly cheaper.⁷ ⁸ ⁹
Mark Hall said: “The plastics recycling industry is currently at a standstill. The UK is seen as a country that relies heavily on exports rather than on building long-term, sustainable infrastructure here at home. Until we invest properly in domestic recycling facilities or implement a ban on overseas exports, this cycle will continue, and the UK will remain dependent on other countries to handle materials that could easily be processed locally.”
“The irony is that by exporting so much recyclable waste, we’re undermining both our environmental goals and the public’s confidence in recycling as a genuinely green practice.”
4. Illegal waste dumping increased as multiple English regions hit a landfill capacity crisis
Waste crime remained a major issue in 2025, with investigations suggesting the UK now has more than 8,000 illegal waste sites containing an estimated 13 million tonnes of unmanaged waste.¹⁰
At the same time, official data shows that several English regions are approaching critically low landfill capacity within the next decade.¹¹ As disposal costs rise and options begin to narrow, there has been a rise in organised criminal groups targeting businesses with low-cost, unlicensed waste services, which are often advertised online.¹²
Businesses whose waste is traced to illegal sites can still face enforcement action, even if they were unaware their carrier was operating unlawfully.
Mark Hall said: “When landfill space runs out, and disposal costs increase, we see a rise in illegal operators, and they aren’t always easy to track. The problem is that there isn’t enough enforcement and waste tracking, which explains why the number of illicit operators is increasing.”
“We need stronger waste tracking and enforcement, but also we need to improve our recycling and recovery systems if we want to see an end to this; otherwise, this issue will continue to increase.”
Mark Hall said: “The bin strikes in Birmingham brought national attention to problems many councils are already dealing with. Waste collection relies on people, infrastructure and a solid strategy if it wants to work.”
“When one part fails, it creates an immediate, visible impact. Without proper investment, other councils across the country risk similar disruption, so more work is needed to address that.”
5. Delays to the UK’s Circular Economy Strategy
The Government failed to publish its much-anticipated Circular Economy Strategy this year. It was initially expected in October, but is now expected to be published in early 2026.
Industry bodies have warned that the lack of certainty is stopping investment in new recycling and reprocessing infrastructure, despite capacity already being under pressure.¹³
Recycling and reprocessing facilities require long-term capital investment and full regulatory compliance. Without clarity on future targets, funding and regulatory timelines, businesses will postpone major investment decisions.¹⁴ This then slows the rollout of infrastructure needed to increase recycling rates and, in turn, reduce the amount of waste going to landfill, which in some sites is already at zero capacity.
Mark Hall said:
“The Waste Management sector needs clarity and certainty to invest in projects that will further improve the country’s recycling rates and address our ongoing illegal waste dumping crisis.”
“Recycling plants, reuse schemes and infrastructure don’t get built when policymakers haven’t given clear signals. Until there’s a clear strategy in place, progress towards a circular economy will remain slower than it needs to be, but we look forward to seeing an update from the Government in 2026.”
Looking ahead to 2026
Taken together, these five developments show a waste system that is in real strain. New legislation, a shrinking domestic recycling market, rising waste crime, refuse service disruption, and ongoing policy delays have all added pressure to the waste management sector and local authorities, who are already facing tight financial struggles.
In 2026, the country’s priorities should focus on improving compliance with Simpler Recycling, especially when the legislation comes into effect for households. We also need to rebuild our domestic recycling capacity, take tougher action on waste crime, provide councils with the support they need to deliver working public services, and finally provide clear, long-term policy direction.
Without action, costs and disruption will continue to rise. With the right decisions, 2026 could be a turning point towards a more stable and genuinely circular economy system.
More information can be found in this blog post.
Notes
- https://www.gov.uk/government/publications/simpler-recycling-in-england-policy-update/simpler-recycling-in-england-policy-update
- https://www.legislation.gov.uk/ukia/2025/2/pdfs/ukia_20250002_en.pdf
- https://www.letsrecycle.com/news/simpler-recycling-how-do-things-look-six-months-in/
- https://www.bbc.co.uk/news/topics/cyx5krnw38lt/birmingham-bin-strikes
- https://www.rotherhamadvertiser.co.uk/news/people/bin-collection-problems-persist-as-council-works-to-find-an-answer-5296363
- https://www.endswasteandbioenergy.com/article/1936034/uk-sees-closure-21-plastic-recycling-facilities-two-years
- https://green-alliance.org.uk/wp-content/uploads/2025/10/Why-are-plastics-recycling-plants-closing-in-the-UK.docx.pdf
- https://www.theguardian.com/environment/2025/oct/08/uk-plastic-waste-exports-to-developing-countries-rose-84-in-a-year-data-shows
- https://www.endsreport.com/article/1909165/uk-plastic-waste-exports-increase-again-2024
- https://www.theguardian.com/environment/2025/nov/29/waste-sites-landfill-rubbish-uk-research
- https://www.data.gov.uk/dataset/237825cb-dc10-4c53-8446-1bcd35614c12/remaining-landfill-capacity
- https://envirotecmagazine.com/2025/11/17/massive-illegal-waste-dump-in-oxfordshire-threatens-thames-and-adjacent-river-systems/
- https://www.ciwm.co.uk/ciwm/news/2025/ciwm_responds_to_circular_economy_strategy_delay_until_2026.aspx
- https://blog.wastify.co.uk/uk-circular-economy-delay-commercial-waste-management/
