The Producer Responsibility Obligations (Packaging and Packaging Waste) Regulations 2024

SCHEDULE 9 Corporate Groups

Regulation 101 PART 1 General Application and interpretation 1 (1) This Schedule applies where, in relation to a relevant year, two or more bodies corporate in the same corporate group are each producers. (2) In this Schedule— “relevant group member” means a body corporate which is— a producer; and a member of a corporate group, two or more members of which are producers; “the threshold criteria” means the criteria in paragraph (1) or (2) of regulation 24 read together with paragraphs (3) to (7) of that regulation. Large and small producers: application of thresholds to relevant group companies 2 (1) If, in relation to a relevant year— (a) the aggregate of the turnovers of each relevant group member in a corporate group in the financial year referred to in regulation 24(1)(a) satisfies the threshold criterion in that paragraph; and (b) the aggregate of the amounts of packaging supplied by each relevant group member in the calendar year referred to in regulation 24(1)(b) satisfies the threshold criterion in that paragraph, every relevant group member in the corporate group is a large producer in relation to the relevant year, whether or not it would satisfy those criteria if it were not a member of the group. (2) If, in relation to a relevant year— (a) the aggregate of the turnovers of each relevant group member in a corporate group in the financial year referred to in regulation 24(2)(a) satisfies the threshold criterion in that paragraph; and (b) the aggregate of the amounts of packaging supplied by each relevant group member in the calendar year referred to in regulation 24(2)(b) satisfies the threshold criterion in that regulation; but (c) one or both of the criteria in paragraph (1)(a) and (b) are not satisfied, each relevant group member is a small producer in relation to the relevant year, whether or not it would satisfy the tests referred to in sub-paragraphs (a) and (b) if it were not a member of the group. Individual and group registrations 3 Subject to regulation 42, a relevant group member must comply with its obligation under regulation 25(1)(a) to be registered with the appropriate agency for a relevant year by— (a) being registered separately for that year with the appropriate agency as required by regulation 25(1)(a), in which case the relevant group member has its own obligations under these Regulations; or (b) being registered for that year with the appropriate agency as part of a group registration on an application under paragraph 4, in which case paragraphs 5 and 6 apply. Application for group registration 4 (1) An application to the appropriate agency for a group registration must be made by the holding company of a corporate group, whether or not the holding company is a producer. (2) The application must be submitted to the appropriate agency— (a) in relation to 2025, on or before 1st April 2025; (b) in relation to 2026 or any subsequent year, on or before— (i) the date specified in regulation 28(1)(b)(i), if any of the relevant group members included in the application would be required to apply for registration by that date if they were applying for registration separately; or (ii) the date specified in regulation 28(1)(b)(ii) in any other case. (3) The application must— (a) be made in such form and manner as the appropriate agency specifies; (b) include the information set out in Schedule 3 for each body corporate to be included in the group registration; (c) be accompanied by such other information as the appropriate agency may reasonably require to determine the application; (d) be verified by the signature of an approved person of the holding company; and (e) be accompanied by payment of the sum of— (i) the charge under paragraph 2(1)(a) to (c) of Schedule 1 for the holding company (which in the case of a holding company which is not a producer is payable as if it were a producer); (ii) the charge under paragraph 2(1)(d) of Schedule 1 for each subsidiary; and (iii) the additional charge for late registration under paragraph 2(2) of Schedule 1 for the holding company and for each subsidiary, if the application is made after the date referred to in sub-paragraph (2). (4) Regulation 30 applies to the application with the modifications that— (a) the reference to “the producer” in paragraph (1)(a), the first reference in paragraph (2)(a) and the references in paragraphs (2)(b) and (3) were references to the holding company; (b) the second and third references to “the producer” in paragraph (2)(a) and the reference in paragraph (2)(c) were references to each body corporate included in the application; (c) the reference to “the producer’s registration” in paragraph (2)(c) were a reference to “that body corporate’s registration”. (5) If registration is granted, the registration is subject to— (a) the condition that the holding company and each subsidiary registered as part of the group registration comply with the obligations which they have respectively under paragraph 5 below; and (b) the conditions in regulation 31(b) to (e), read with the modifications that— (i) the first reference to P in regulation 31(c), the first and second references in regulation 31(d) and the first reference in regulation 31(e) were references to the holding company; and (ii) all other references to P were references to the holding company or any subsidiary registered as part of the group registration. (6) Regulation 32 applies in relation to the registration, with the modifications that— (a) the references to “a producer” in the opening words of paragraphs (1) and (2), and to “the producer” in paragraph (2)(b), were references to the group; (b) the references to “the producer” in paragraphs (1)(a) and (b) were references to the holding company or any subsidiary registered as part of the group registration; (c) the reference in paragraph (1)(a) to the conditions in regulation 31 were a reference to the conditions in sub-paragraph (5) above; (d) paragraph (2)(a) does not apply; and (e) the notice required by paragraph (3) is to be served on the holding company. (7) If any of the circumstances in regulation 27(1) applies to a relevant group member in the group registration, the holding company must apply to the appropriate authority to amend the group registration by removing that relevant group member from the registration. Effect of group registration: producer responsibility obligations 5 (1) Where there is a group registration— (a) the relevant group members in the group registration, other than the holding company, are exempt from complying with their obligations under paragraph (1)(a), (c) and (d), paragraph (2) and paragraph (3)(a) and (c) of regulation 25 for the relevant year; (b) the holding company, whether or not it is a producer, must comply with the obligations in paragraph (1)(c) and (d) and paragraph (3)(a) and (c) of regulation 25 which each relevant group member in the group registration that is a producer would have had, but for paragraph (a); (c) the holding company and a subsidiary registered as part of the group registration must both keep— (i) the records specified in relation to the subsidiary in regulation 34(1), in accordance with regulation 34(2); and (ii) records of any assessments carried out of the recyclability of the packaging which the subsidiary supplies, in accordance with regulation 34(5). (2) Where, under paragraph 2, each relevant group member in a group registration is a large producer— (a) the holding company has recycling obligations for the relevant year which are the aggregate of the recycling obligations which each relevant group member in the group registration would have had but for the group registration; and (b) the holding company must provide to the appropriate agency a certificate of compliance in accordance with regulation 41 in relation to those recycling obligations. (3) For the purposes of sub-paragraph (1)(b), regulation 39 applies in relation to reports made by the holding company, with the modifications that— (a) the report must be verified by the signature of the approved person of the holding company; and (b) the references to a producer in paragraph (3) are to be treated as references to the holding company. (4) For the purposes of sub-paragraph (2)(a), regulation 40 applies with the modifications that references to a large producer are to be treated as references to the holding company. Effect of group registration: liability for disposal fees and administration fees 6 (1) Where one or more relevant group members in a group registration, other than the holding company, is a liable producer under regulation 60 in relation to an assessment year— (a) the liability of each of those persons under regulation 60(2) to pay disposal fees and administration fees is transferred to the holding company; and (b) the holding company is liable to pay to the scheme administrator in accordance with regulation 68— (i) an amount equal to the sum of the disposal fees, and (ii) an amount equal to the sum of the administration fees, which would, apart from this paragraph, be payable by each relevant group member in the group registration. (2) For the purposes of sub-paragraph (1), the provisions referred to in sub-paragraphs (3) and (4) apply with the modifications in those sub-paragraphs. (3) Chapter 3 of Part 5 applies with the modifications that— (a) in regulations 60(3) and 61 to 66, any reference to a fee payable by a liable producer is to be treated as a reference to a fee payable by the holding company in relation to a relevant group member which is a liable producer; (b) the notice of liability required by regulations 60(3)(b) and 67 is to be served on the holding company and is to state— (i) the total amounts of the disposal fees and administration fees payable by the holding company under sub-paragraph (1)(b)(i) and (ii) above; (ii) the information in regulation 67(2)(a) to (e) for the holding company, if it is a liable producer, and for each relevant group member whose liability has transferred to the holding company; (iii) the information in regulation 67(2)(f) to (h) and (3), with regulation 67(2)(h) being read as if the reference to the producer were a reference to the holding company. (4) In Chapter 5 of Part 5, regulations 78(1)(a), 79, 81 and 82 apply with the modifications that references to a liable producer, an affected producer or the producer are to be treated as references to the holding company, except for the reference to the producer in regulation 79(2)(a)(i) which is to be treated as a reference to the holding company, if it is a liable producer, and to any relevant group member whose liability has transferred to the holding company. PART 2 Mid-year changes Producer joining a corporate group 7 Paragraphs 8 to 11 apply where a corporate body which is a producer (“NC”) joins a corporate group and becomes a relevant group member. 8 NC must be registered with the appropriate agency either— (a) separately as referred to in paragraph 3(a); or (b) by being added to a group registration under Part 1 of this Schedule, and for the purposes of this paragraph— (i) such registration is effected upon notice being given by the holding company to the appropriate agency of the change in the group registration; and (ii) where prior to joining the group of companies the company was registered with the appropriate agency, the appropriate agency must cancel that registration, and regulation 32(3) applies to that cancellation as it applies to a cancellation under regulation 32(2). 9 (1) Where, in relation to the year in which NC joins the corporate group, NC is added to a group registration— (a) if NC satisfies the threshold criteria as an individual producer, paragraph 5 applies as if NC had been part of the group registration for the whole year; (b) if NC does not itself satisfy the threshold criteria, paragraph 5 applies with the modification in sub-paragraph (2). (2) The obligation of the holding company is to be calculated as a proportion of the company’s recycling obligations, disposal fee obligations and administration fee obligations for the year in which it joins the group, such proportion being calculated as provided in paragraph 11. 10 (1) Where in relation to the year in which NC joins the corporate group, NC is registered separately with the appropriate agency— (a) if NC satisfies the threshold criteria as an individual producer, NC must comply with its obligations under these Regulations for that year; (b) if NC does not itself satisfy the threshold criteria, NC must comply with its obligations under these Regulations for that year as varied by sub-paragraph (2). (2) The obligation of NC is to be calculated as a proportion of its recycling obligations, disposal fee obligations and administration fee obligations for the year in which it joins the group, such proportion being calculated as provided in paragraph 11. 11 The proportion referred to in paragraphs 9(2) and 10(2) is to be calculated as G/Hwhere— “G” is the number of days in the relevant year during which the company is a member of the corporate group; and “H” is the number of days in the relevant year. Producer ceasing to be a member of a corporate group 12 Paragraphs 13 and 14 apply where a relevant group member (“XC”) ceases to be a member of a corporate group. 13 Where, in relation to the year during which XC leaves the corporate group, XC is registered with the appropriate agency as part of a group registration— (a) if XC satisfies the threshold criteria as an individual producer— (i) XC must register with the appropriate agency as required by regulation 25(1)(a) within a period of 28 days starting with the day on which XC ceases to be a member of the group, and regulations 29 to 32 apply as if this were an occurrence specified in regulation 28(3)(a); but (ii) the holding company must comply with XC’s obligations under these Regulations for that year; (b) if XC does not satisfy the threshold criteria as an individual producer, the holding company must continue to comply with the obligations under these Regulations which XC had for that year as a relevant group member. 14 Where, in relation to the year during which XC leaves the corporate group, XC is registered separately with the appropriate agency— (a) if XC itself satisfies the threshold criteria, XC must comply with its obligations under these Regulations for that year as an individual producer; (b) if XC does not itself satisfy the threshold criteria, the holding company must comply with the obligations under these Regulations which XC had for that year as a relevant group member. Producer changing corporate groups 15 Paragraphs 16 and 17 apply where a relevant group member (“CC”) of one corporate group (“the first group”) ceases to be a member of that group and, in the same calendar year, becomes a member of another corporate group (“the second group”). 16 Where, immediately before leaving the first group, CC is registered with the appropriate agency as part of a group registration, the holding company of the first group must continue to comply with CC’s obligations under these Regulations for the whole of the year in which CC changes groups. 17 Where, immediately before leaving the first group, CC is registered separately with the appropriate agency, CC must comply with its obligations under the Regulations for the whole of the relevant year.