The Strategic Waste Forum, which is chaired by Barry Sheerman, MP for Huddersfield and chair of the Associate Parliamentary Sustainable Waste Group, says that with the reforms, the government is jeopardising “projects that are making a real impact on the environment at a local level across the country, thus harming chances of reaching the challenging recycling targets set by Europe. ”
Mr Sheerman said, “This is a potential disaster for the environment sector. Hundreds of environmental organisations delivering innovation in sustainable waste, that are making a real difference to their local environment and community, are being put under threat.”
The MP, who is also chairman of Urban Mines which receives support under the LTCS, also called for the creation of a government-led Strategic Waste Authority to ensure greater co-ordination of waste policy. “The inadequacy of the transitional arrangements and the manner of the scrapping of the LTCS reflects wider problems the Government has in co-ordinating waste issues,” he added.
The Strategic Waste Forum, a think tank initiated by Mr Sheerman, said it had identified a ratio of 1:6 between funds given to environmental organisations through the Landfill Tax Credit Scheme and match funds raised from other sources, including Europe, Regional Development Agencies, and the private sector. This match funding will be lost under the Government plans announced in November’s Pre-Budget Statement to cut 110 million from the Landfill Tax Credit Scheme and use the funds for public spending.
Crucial
Mark Dempsey, manager of the Strategic Waste Forum explained: “The crucial problem with the government’s plans is that by removing 110 million from the Landfill Tax Credit Scheme and using it for public spending, it will prevent environmental groups using this money as private finance to ‘lever’ match funds – our calculations indicate that this could cost the environmental sector as much as £671 million”.
Jean Jarvis, chief officer of the South Shropshire Furniture Scheme said small recycling organisations across the country have strong concerns. “Since its inception our Furniture Recycling Project has received over 170,000 in Landfill Tax grants. We have been able to use this money as match funding to access other grants and this has enabled our organisation to expand, creating employment opportunities and diverting several hundred tonnes of household waste from landfill. What happens to projects like ours now?”
Many environmental groups have welcomed the announcement of a transitional legacy fund but remain concerned about the short timescale the government has provided for organisations having to cope with these changes and the uncertainty surrounding the format of a successor to the Landfill Tax Credit Scheme.
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