Online retailers required to pay fair share of e-waste recycling costs
New regulations close loophole in WEEE legislation that allowed online marketplaces to avoid e-waste recycling costs, while traditional retailers funded collection infrastructure.
Online marketplaces and vape producers must pay towards recycling costs of electrical waste, addressing a historic imbalance that has placed a disproportionate financial burden on traditional retailers, Circular Economy Minister Mary Creagh announced today (10 Dec).
The reforms aim to improve on the Waste Electrical and Electronic Equipment (WEEE) Regulations 2013, which previously created an uneven playing field between high street retailers and online sellers. Under existing regulations, traditional retailers have been required to finance collection infrastructure and recycling schemes, while many online marketplaces avoided equivalent obligations.
A Defra spokesperson confirmed to resource.co that the changes will be implemented through a statutory instrument amending the WEEE Regulations, with new obligations coming into force from 1 January 2026.
Current regulatory framework
UK-based retailers currently bear significant operational costs through mandatory requirements including in-store take-back schemes and funding for designated collection facilities. These obligations, enforced under the WEEE regulations, require retailers to provide free return services for old electrical equipment when customers purchase similar items.
Traditional retailers must also maintain detailed compliance records and provide customer information about disposal options. By contrast, online marketplaces, particularly those based overseas, have largely operated outside these requirements, effectively subsidised by UK high street businesses' environmental compliance costs.
New requirements for online sellers and vapes
Under the new plans, online marketplaces must register with the Environment Agency and report data on UK sales from their overseas sellers. A Defra spokesperson explained that marketplaces will be required to join a compliance scheme and pay relevant fees, with the cost arrangements being left to individual businesses to determine.
The government will also create a specific category for vapes under the WEEE regulations, moving them from their current classification under "toys, leisure and sports equipment." While vape producers already contribute to waste treatment costs, the spokesperson clarified that this recategorization will ensure they pay appropriate amounts without other producers subsidizing their obligations.
"Electrical equipment like vapes are being sold in the UK by producers who are failing to pay their fair share when [it comes to] recycling and dealing with old or broken items," said Mary Creagh, Circular Economy Minister. "Today we're ending this: creating a level playing field for all producers of electronics, to ensure fairness and fund the cost of the treatment of waste electricals."
Research from Material Focus reveals the scale of the challenge, showing British households incorrectly dispose of more than 100,000 tonnes of smaller household electrical items annually. An estimated 880 million unwanted items containing valuable materials remain stored in homes across the UK.
Industry response to reforms
Alex Baldock, CEO at Currys, strongly endorsed the changes: "We believe that if you sell something, this comes with a commitment to help keep it working, and then to recycle it responsibly when it reaches the end of its life. We continue to do everything we can to give tech a longer life, but there are many who don't.
"We welcome the Government's new measures to help level the playing field for responsibility for waste, making online marketplaces do their part. Low value, low quality and unsustainable tech is piling up in landfills, and it's good to see Government doing something to tackle that. We'll continue to work with them to help ensure our industry performs its important role in helping protect our planet and be a force for good."
The reforms also introduce a specific category for vapes to ensure producers bear appropriate recycling costs. Material Focus data shows approximately five million vapes are either littered or disposed of in general waste weekly in the UK.
Scott Butler, Executive Director at Material Focus, welcomed the regulatory changes: "We welcome the Government's vital new reforms to the waste electrical regulations. FastTech items such as vapes have swamped the UK market, with half a billion items bought in the past year alone.
"These small, cheap and too easily thrown away items contain valuable materials such as copper, gold, and lithium which are lost forever and could instead power our tech future. These changes to regulations will mean that online marketplaces, many of which are selling FastTech and other electricals, must take on their producer responsibilities and contribute their share of the costs of recycling them."
Graeme Milne, Chief Executive, REPIC commented: "REPIC, the UK's largest producer compliance scheme, welcomes the Government’s recognition of the need for targeted measures to address the unique challenges posed by vapes and electronic goods sold online. These changes ensure a fairer system where all stakeholders share responsibility for recycling costs.
"REPIC will continue its ongoing dialogue with policymakers, focusing on refining the implementation of these measures while representing producer perspectives in future regulatory developments. Collaboration remains essential to scaling recycling infrastructure and driving public engagement, ensuring the UK addresses its e-waste challenges responsibly."
The government plans to publish a Circular Economy Strategy for England next year, developed by a newly formed Circular Economy Taskforce comprising industry, academic, and civil society representatives.