Treasury reviews landfill tax overhaul amid industry pushback

Construction & Demolition Waste 2 hours ago

The Treasury is reviewing plans to overhaul the landfill tax, after industry warned that changes could impose crippling costs on businesses.
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layersDaily Sustainability Digest

Published about 48 minutes ago



Government advisors and leading industry groups are pressing the UK to transform infrastructure delivery by placing retrofit, reuse and recycling at the forefront of policy. Proposals to remove VAT on retrofitting aim to accelerate uptake of circular economy strategies while embedding circular economy in construction. This approach links directly with Whole Life Carbon Assessment and lifecycle assessment, highlighting that extending the life of existing assets often delivers greater carbon footprint reduction than full demolition and rebuild.

Calls for retrofit reflect the urgent need to address embodied carbon in materials and reduce the carbon footprint of construction. Embodied carbon remains one of the hardest challenges for green construction, and adopting circular construction strategies such as reuse and recycling can substantially cut whole life carbon. Expanding the use of low carbon construction materials and renewable building materials is central to meeting net zero whole life carbon targets across the built environment.

The government has committed over £1bn in public-private funding to decarbonise ports, focusing on electrification and infrastructure upgrades. These investments reinforce the role of sustainable building practices and green infrastructure in driving net zero carbon logistics. The programme is also aligned with life cycle thinking in construction, ensuring that investments consider both life cycle cost and building lifecycle performance over time, which are critical metrics in sustainable urban development.

The escalating shortage of skilled construction professionals threatens delivery of sustainable design targets. Retaining experienced workers is seen as vital for meeting net zero carbon buildings ambitions and enabling a consistent focus on eco-design for buildings. Knowledge transfer from skilled trades is essential to achieving sustainable building design that prioritises both resource efficiency in construction and the environmental sustainability in construction practices.

Concerns are being raised about the pace of planning approvals for major projects. While streamlined processes promise faster outcomes, there are risks of overlooking opportunities to integrate sustainable building practices and eco-friendly construction features at early stages. Life cycle thinking in construction and robust whole life carbon assessment must be embedded from project inception to avoid costly retrofits and missed targets for carbon neutral construction.

Leadership changes at the Considerate Constructors Scheme are expected to push the sector further towards sustainable construction. The shift signals growing industry commitment to sustainability in design, with stronger emphasis on green building materials, environmental product declarations (EPDs), and sustainable material specification. If effectively implemented, these measures could reshape environmental sustainability in construction and support the transition towards low carbon design across the sector.

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Whole Life Carbon is a platform for the entire construction industry—both in the UK and internationally. We track the latest publications, debates, and events related to whole life guidance and sustainability. If you have any enquiries or opinions to share, please do get in touch.