Veolia launches its biggest UK plastics recycling project with a £70M investment
Veolia has invested £70 million (US$93.8 million) in a plastics recycling project in Battlefield, UK, marking the company’s largest recycling investment in the country to date. The site will be home to the country’s first “tray-to-tray” closed-loop PET recycling plant, aimed at transforming used PET plastic trays and bottles into new food-grade packaging.
Set to become operational by early 2026, the facility will process around 80,000 metric tons of mixed plastics annually, collected from households and businesses nationwide. By using recycled materials, the plant is expected to save up to 70% of the CO2 that would otherwise be associated with the use of virgin materials.
Estelle Brachlianoff, CEO at Veolia, says: “By becoming the first company in the UK to recycle PET trays through a fully closed-loop process, we are reinforcing our leadership as a pioneer of the circular economy.”
”This innovative facility not only advances our commitment to reducing waste and carbon emissions but also positions us to meet the growing demand for effective recycling as Simpler Recycling legislation comes into effect, ensuring more of this material is responsibly recycled for years to come.”
Circular economy solutions
This project is part of Veolia’s broader commitment to the circular economy in the UK, with total investments projected to reach £1 billion (US$1.34 billion) by 2030.
The Simpler Recycling reform aims to simplify waste collection. Veolia is supporting it with its new facility.Gavin Graveson, CEO at Veolia UK, says: “At this critical time for the plastics recycling industry, with a number of players exiting the market due to low end market demand and macroeconomic concerns, it is crucial that the UK has innovative domestic recycling facilities.”
He says there is significant potential to grow the plastic recycling market in the country, with 2.2 million tons of plastic packaging put on the market each year.
“Building a world-leading, profitable circular economy is essential — not only to create jobs but also to support the nation’s net-zero ambitions. We would welcome the government’s support in maintaining this momentum with the right incentives, including a timely and meaningful escalation of the current Plastic Packaging Tax.”
Beyond plastics, Veolia is also expanding its sustainability footprint with other UK initiatives. These include extending Southwark’s district heating network to 5,000 homes using energy from the South East London Combined Heat and Power recovery facility, and increasing processing of solvents and hazardous waste to achieve further carbon savings.
Recently, Veolia launched a new treatment for aqueous film forming foam fire suppressants containing PFAS, ahead of a UK ban that took effect on 1 July 2025.
