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Veolia Announces £70 Million UK Plastic Recycling Project

Veolia has announced a major investment in the UK’s recycling sector, committing £70 million to build the UK's first tray-to-tray closed-loop plastic recycling facility, in Battlefield near Shrewsbury, Shropshire. The plant, which was due to come online in early 2026, focuses on converting used PET trays and bottles back into food-grade recycled materials.

The company says the plant will play a vital role in closing the loop on plastic packaging, ensuring that materials widely used in supermarkets and the food industry can be recycled back into safe, reusable products rather than ending up in landfill or incineration.

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Boost to Recycling Infrastructure

The new facility is being hailed as one of the most advanced in Europe. It is designed to process around 80,000 tonnes of mixed plastics a year, using innovative sorting technology to produce high-quality recycled PET (rPET) suitable for direct use in food packaging. This supports UK supermarkets and manufacturers under growing pressure to meet sustainability targets.

According to Veolia, the plant will also create over 130 permanent local jobs and provide a boost to the local economy while reducing the UK’s reliance on imported recycled plastics.

Looking Ahead

Environmental groups have long argued that the UK needs significantly more investment in domestic recycling infrastructure. Much of the country’s collected plastic waste is still exported overseas for processing, often with limited oversight of environmental standards. Veolia’s investment is seen as a step towards addressing this gap and keeping more recycling on home soil.

Campaigners say developments like this are crucial for meeting future government targets, especially as rules on consistent household collections and extended producer responsibility for packaging are phased in over the coming years.

The facility is expected to come online in early 2026, with Veolia positioning it as a model for sustainable recycling in the UK. As consumer demand for greener packaging continues to rise, and pressure grows on manufacturers to reduce their carbon footprint, the plant could mark a turning point in how the country handles its plastic waste. It forms part of Veolia's wider £1 billion of planned UK investment by 2030.

Closer to home, if you have plastics, packaging or mixed recycling to clear, our recycling and private bin collection services help keep waste out of landfill.