As of this month the Landfill Tax has changed to include disposals at unauthorised waste sites in England and Northern Ireland. These 
changes are intended to support legitimate waste management businesses by creating a fairer tax system and a deterrent to causing environmental harm by disposing of material at an unauthorised waste site.
This has always been an environmental crime; however, until now material disposed of at unauthorised waste sites has not been subject to Landfill Tax. With no Landfill Tax to pay, rogue operators were able to undercut legitimate operators and make significant profits, at the expense of both the legitimate trade and the environment.
These sites, which ought to have an environmental permit or licence for disposals but do not, will now be within the scope of Landfill Tax. This will allow for far stronger penalties against rogue operators and those using these sites to dump their waste. From 1 April, HMRC can tax any person or business who makes a disposal at an unauthorised waste site, or knowingly causes or permits the disposal may be liable for Landfill Tax, and a penalty of up to 100% of the tax due, and face criminal prosecution.
HMRC will work closely with the Environment Agency, Northern Ireland Environment Agency, the Police and other partners to take action against those that continue to operate outside of the law. This change in the Landfill Tax has happened on the same day, DEFRA has announced that councils will have the power to almost double maximum on-the-spot fines for littering and graffiti from £80 to £150, showing that whether people are littering on a small or a large scale the penalties are high.
Landfill Tax was introduced on 1 October 1996 as a disincentive to landfilling material and to encourage the switch to more environmentally friendly alternatives. Since the introduction of the tax in the UK, landfilling is down more than 60%. The Environment Services Association estimates that waste crime costs the English economy over £600m annually, with up to £200m of tax being dodged.
