ÌìÃÀÓ°Ôº

1. Headlines

• total provisional Climate Change Levy (CCL) and Carbon Price Floor (CPF) receipts for the financial year 2024 to 2025 were £1,794 million, which is £33 million (2%) lower than the financial year ending 2023

• total provisional Landfill Tax (LFT) receipts for the financial year 2024 to 2025 were £486 million, which is £3 million (1%) lower than the financial year ending 2023

• total provisional Aggregates Levy (AGL) receipts for the financial year 2024 to 2025 were £359 million, which is £9 million (3%) higher than the financial year ending 2023

2. About this release

This bulletin was created in June 2021 and will be updated in line with consultation on changes to HMRC statistics publications 2025.

HMRC welcomes user engagement to improve the departments National and Official Statistics. You can contact statistics producers on GOV.UK or the team responsible for this bulletin directly at revenuemonitoring@hmrc.gov.uk.

National Statistics are .

This publication provides statistics for:

• CCL and CPF
• LFT
• AGL

The latest release has been updated with provisional receipts data up to May 2025 and provisional declarations data to April 2025.

Difficulties faced by taxpayers submitting returns during the coronavirus pandemic also means these statistics should be treated with additional caution for the financial year ending in 2021.

The ‘Environmental Taxes Bulletin’ is . The information contained can be used as long as the source is made clear by the user.

3. Historical trends in environmental tax receipts over the past 10 years

Figure 1: Total environmental tax receipts for the previous 10 financial years, in £ million

Receipts for financial year ending 2025 are provisional.

Figure 1 demonstrates the following trends:

• CCL and CPF together are the largest environmental tax. After a steady rise across previous years, receipts have declined in financial years ending in 2024 and 2025

• LFT receipts were decreasing each year until the financial year ending 2022, in which receipts increased compared to the previous year. In the financial years ending 2023 to 2025 however, receipts returned to a decreasing trend

• AGL has been the smallest of the three environmental taxes over the past 10 financial years. Receipts have shown a gradual increase up to the financial year ending 2020, after which there has been more fluctuation. The financial years ending 2023 and 2024 have seen receipts from this tax decrease, with a slight increase in the financial year ending in 2025

Table 1: Financial year environmental tax receipts for the previous 10 complete financial years, £ million

Financial Year	CCL and CPF	LFT	AGL
2015 to 2016	1,763	919	356
2016 to 2017	1,864	874	374
2017 to 2018	1,861	757	376
2018 to 2019	1,922	683	367
2019 to 2020	2,004	641	397
2020 to 2021	1,778	566	359
2021 to 2022	1,930	667	410
2022 to 2023	2,094	626	378
2023 to 2024	1,827	489	350
2024 to 2025	1,794	486	359

4. Climate Change Levy and Carbon Price Floor receipts and declarations

CCL is chargeable on the industrial and commercial supply of taxable commodities for lighting, heating and power by consumers in the following sectors:

• industry
• commerce
• agriculture
• public administration
• other services

CCL does not apply to taxable commodities used by domestic consumers or charities for non-business use.

CCL is charged on taxable supplies. Taxable supplies are certain supplies of the following taxable commodities:

• electricity
• natural gas as supplied by a gas utility
• petroleum and hydrocarbon gas in a liquid state
• coal and lignite
• coke and semi coke of coal or lignite
• petroleum coke

CPF is a tax on fossil fuels used in the generation of electricity. It was achieved through changes to the existing CCL regime for gas, solid fuels and liquefied petroleum gas (LPG) used for electricity generation. These changes included the introduction of new carbon price support (CPS) rates of CCL.

This publication provides National Statistics for CCL and CPF receipts and declarations by fuel type:

• electricity
• gas
• solid and other fuels, including liquefied petroleum gas (LPG)

It is not possible to provide accurate separate receipts statistics for CCL and CPF because taxpayers pay receipts for both as one payment. An estimate of separate receipts statistics for CCL and CPF is provided using taxpayer returns data and should be treated with caution.

CCL and CPF taxpayers mainly follow quarterly accounting periods. Tax returns are due by the end of the month following the accounting period. Payment of tax is also generally due to HMRC by the same time, but taxpayers who pay by direct debit are given a 7 day extension.

These accounting periods and payment patterns cause a 1 to 2 month lag between accounting periods ending and receipts being received by HMRC.

Figure 2: Total CCL and CPF receipts by financial year, in £ million

Receipts for the financial year ending 2025 are provisional.

Figure 2 demonstrates the following trends for total CCL and CPF receipts:

• receipts fell substantially in financial year ending 2021, as national COVID-19 lockdown policies reduced the demand for energy generated from commodities covered by CCL and CPF. For the financial year ending 2023, CCL and CPF receipts returned to above pre-pandemic levels before falling again in the financial year ending 2024 and 2025

• in the financial year ending 2023, CCL and CPF receipts reached their highest level at £2,092 million. The previous peak was in the financial year ending 2020 at £2,004 million

Figure 3: Total CCL and CPF declarations split by electricity, gas, and solid and other fuels by financial year

Declaration figures for financial year ending 2025 are provisional.

Figure 3 demonstrates the following trends for total CCL and CPF declarations:

• electricity declarations have generally increased since financial year ending 2015, with the highest level being in financial year ending 2020. From the financial year ending 2021 to the financial year ending 2025, the level of receipts has held fairly steady, with some fluctuation

• gas receipts increased substantially each year until the financial year ending 2017, after which receipts were more stable. In the financial year ending 2024, we see a substantial fall

• declarations for solid and other fuels have followed a downward trend, reflecting declining quantities of coal used for electricity production in the UK. In financial years ending 2022 and 2023 there was a small rise in the use of solid and other fuels compared to the previous financial year, before receipts for these fuels again decreased to their lowest ever level in the financial year ending 2024. This was followed by a slight rise in the financial year ending 2025

5. Landfill Tax receipts and declarations

LFT is a tax paid by landfill operators on the disposal of material at a landfill site. The tax is passed onto businesses and local authorities through the gate fee for disposing of waste at a landfill.

The tax aims to provide incentive for the diversion of waste from landfill to other less harmful methods of waste management such as recycling and incineration.

The tax is charged by weight. There are two rates: standard rate and lower rate.

• lower rate applies to non-hazardous and less polluting materials

• standard rate applies to all other taxable materials including all disposals at an unauthorised site

With effect from 1 April 2023, the following rates apply:

• lower rate: £3.25 per tonne
• standard rate: £102.10 per tonne

Exemptions exist for dredging, mining and quarrying waste, pet cemeteries, filling of quarries and waste from visiting forces.

Figure 4: Total LFT receipts by financial year

Receipts for financial year ending 2025 are provisional.

Figure 4 demonstrates the following trends to LFT receipts:

• LFT receipts have fallen substantially over the last 10 financial years. The financial year ending 2021 was impacted by the Coronavirus (COVID-19) pandemic, and after a rise in receipts the following year, financial years ending 2023 to 2025 are continuing the downward trend

• LFT rates have increased significantly over the past 10 years while receipts have fallen, indicating a marked decrease of landfilling activity over this period

• a ‘shortfall’ in LFT receipts should not be considered a concern because the tax aims to provide incentive for the diversion of waste from landfill to other less harmful methods of waste management such as recycling and incineration. This turn away from standard rated waste can be seen below in the declarations data

Figure 5: Total LFT tonnage declared split by taxable tonnage, taxable tonnage of which relieved and exempt tonnage by financial year

Tonnage figures for financial year ending 2025 are provisional.

Figure 5 demonstrates the following trends for LFT tonnage:

• total tonnage has shown a downward trend over the last 10 years. A small rise in the financial years ending 2022 and 2023 following the COVID-19 pandemic was short lived, with tonnage falling in 2024 and 2025

• standard rate tonnage has fallen consistently over the 10 year period

• lower rate tonnage as a proportion of total tonnage has remained relatively stable (with some fluctuation over this period), with this proportion then falling by 2025

• exempt tonnage as a proportion of total tonnage has shown an upward trend over this period while the overall level has remained fairly stable, due to the reduction in overall tonnage of waste. Exempt tonnage has increased from financial year ending 2021 to 2025

• LFT tonnage declared for financial year ending 2025 has reduced over the previous financial year

6. Aggregates Levy receipts and declarations

AGL covers digging, dredging or importing aggregate commercially in the UK.

The current rate is £2.03 per tonne.

Traders become liable for the levy when an aggregate is:

• used for construction purposes
• mixed with anything other than water (excluding special circumstances)
• removed from:
  • its originating site
  • a connected site which is registered under the same name as the originating site
  • a site where it had been intended to apply an exempt process to it, but this process was not applied

Total AGL tonnage declared is calculated by summing taxable and exempt tonnage declared (relieved tonnage is excluded from the calculation in order to avoid double counting as it’s contained within taxable tonnage). As taxable tonnage forms the majority of the total tonnage declared, the pattern of total tonnage is dominated by patterns in taxable tonnage.

Figure 6: Total AGL receipts by financial year

Receipts for financial year ending 2025 are provisional.

Figure 6 demonstrates the following trends for AGL receipts:

• AGL receipts were generally increasing until the financial year ending 2020, after which we see more volatility in the receipts. Receipts dropped in the financial years ending 2023 and 2024 before rising in the financial year ending 2025

• financial year ending 2021 would have been impacted by the Coronavirus (COVID-19) pandemic

• the Aggregates Levy rate remained constant over the period shown in the graph at £2 per tonne, until April 2024, which saw an increase to £2.03 per tonne. This was then raised further in April 2025 to £2.08 per tonne

Figure 7: Total AGL tonnage declared split by taxable tonnage, taxable tonnage of which relieved and exempt tonnage by financial year

Tonnage declarations for financial year ending 2025 are provisional.

Figure 7 demonstrates the following trends for AGL tonnage declarations:

• total AGL tonnage demonstrates an upward trend from financial years ending 2015 to 2020. There was a reduction in the financial year ending 2024 before rising provisionally in financial year ending 2025

• the proportion of taxable tonnage to total tonnage has generally been stable over this period from financial year ending 2015 to financial year ending 2022. In the financial years ending 2024 and 2025 this proportion decreased, indicating a shift from taxable tonnage to exempt tonnage

• total AGL tonnage declared for the financial year ending 2025 is (5%) higher than the previous financial year