The Finance Act 1996 turned a commitment to a Landfill Tax into UK law. The tax creates a disincentive to landfill by charging for each tonne of waste disposed of at landfill.
The rate of Landfill Tax for active waste is £32 per tonne and is set to rise by £8 per tonne per year until at least 2010/11.
Landfill tax for inert waste is currently £2.50 per tonne.
The Landfill Tax Credit Scheme (LTCS) means that much of the revenue generated from the tax goes to support waste reduction and recycling schemes.