Welsh Ministers have made the Landfill Disposals Tax (Tax Rates) (Wales) (Amendment) (No. 2) Regulations 2025, prescribing the landfill disposals tax rates to apply from 1 April 2026. The instrument, made on 5 December and laid before Senedd Cymru on 9 December, sets £130.75 per tonne for the standard rate, £8.65 for the lower rate and £196.15 for unauthorised disposals. The Government has scheduled the approval motion in the Senedd for Tuesday 20 January 2026.
The legal basis is sections 14(3) and (6) and 46(4) of the Landfill Disposals Tax (Wales) Act 2017, which allow Welsh Ministers to prescribe the standard, lower and unauthorised rates by regulations. Section 46 confirms that unauthorised disposals are taxed by multiplying the taxable weight by the unauthorised rate.
Compared with 2025/26, the standard rate rises by 3.65% from £126.15 to £130.75, and the unauthorised rate by the same percentage from £189.25 to £196.15. The lower rate increases by 37.3%, from £6.30 to £8.65. In 2025/26 ministers set the lower rate at 5% of the standard rate; the 2026 figure moves that share to roughly 6.6%.
For local authorities, these rates will apply from the start of the 2026–27 financial year. Tonnage-based contracts for residual waste typically pass the tax through to gate fees, so budget profiles for April 2026 onward should reflect the new per‑tonne charges alongside any indexation clauses in treatment or haulage elements.
Landfill site operators should continue to apply the lower rate only to qualifying materials as set out in the 2017 Act and associated guidance. Accurate waste descriptions and evidence remain central to demonstrating eligibility for the lower rate in quarterly returns to the Welsh Revenue Authority.
The unauthorised disposals regime continues to apply to waste deposited outside authorised landfill sites. The Welsh Revenue Authority can issue charging notices, with payment due within 30 days, and can pursue joint and several liability where more than one person is charged. The unauthorised rate is designed to deter waste crime and is set at 150% of the standard rate.
Transitional arrangements are clear. Disposals made on or after 1 April 2025 but before 1 April 2026 remain subject to the rates set by the 2025 Regulations. Regulation 4 of the new instrument amends the 2025 Regulations to make that cut‑off explicit.
For context, the Welsh Government raised the lower rate to 5% of the standard rate for 2025/26 following consultation. An independent review has highlighted that a wide gap between the lower and standard rates can encourage misdescription; the 2026 increases continue to narrow that gap in relative terms.
Illustratively, a 20‑tonne consignment of residual waste charged at the standard rate will see the tax component rise by about £92 from April 2026 compared with 2025/26. Operators and councils using weight‑based charging should ensure invoicing and reporting systems are updated for the new rates ahead of the first April 2026 reporting period.
Process points remain. The Regulations are made under the affirmative procedure and require Senedd approval; the Government’s published timetable indicates the approval debate on 20 January 2026. The Explanatory Note confirms that a Regulatory Impact Assessment has been prepared and is available from the Welsh Government.