Q. The UK LCF in Wales
Responsibility for the new Welsh Landfill Tax will be transferred to the Welsh Government on 1 April 2018. This impacts on the current Landfill Communities Fund (LCF) in Wales which will cease to operate after 31 March 2018. There will be a two year transitional period from 1 April 2018 to 31 March 2020 for EBs operating in Wales to conclude their Welsh LCF activities. ENTRUST will produce guidance regarding the closure of the LCF in Wales on the Wales page on our website for more information and links.
The Welsh Government has indicated that it would like to implement a similar scheme in Wales and are currently exploring the development of a Landfill Disposals Tax Community Scheme (LDT CS). For more information please see the Welsh Government website.
Q. The UK LCF in Scotland
Responsibility for the new Scottish Landfill Tax was transferred to the Scottish Government on 1 April 2015. This impacted on the Landfill Communities Fund (LCF) in Scotland which ceased after 31 March 2015. A transitional period to spend any outstanding LCF monies concluded on 31 March 2017.
Environmental Bodies (EBs) based in Scotland who remain an enrolled EB will continue to be subject to the Landfill Tax Regulations 1996 until they revoke from the scheme. Any EB enrolled in Scotland who is not continuing to operate in England, Northern Ireland or Wales should voluntarily revoke to remove these statutory obligations. You can read information about revocation and download the forms here.
A new scheme in Scotland called the Scottish Landfill Communities Fund (SLCF) has been established. The Scottish Environment Protection Agency (SEPA) regulates this scheme. For more information please see the SEPA website.
Q. What does devolution mean for the LCF?
Responsibility for collecting landfill tax has been devolved to Scotland and is due to be devolved to Wales. This impacts on the Landfill Communities Fund (LCF) as the LCF will cease to operate in the countries where landfill tax collection has been devolved to the national governments. The LCF ended in Scotland in March 2015 with a transitional period which concluded on 31 March 2017. The LCF in Wales will end on 31 March 2018 when landfill tax is devolved. There will be a transitional period for EBs operating in Wales to conclude their Welsh LCF actvities. This will run from 1 April 2018 to 31 March 2020.
Environmental Bodies (EBs) need to be aware of any potential impacts arising from these changes. ENTRUST produces guidance on the impact of devolution and can provide advice to individual EBs.
Where landfill tax is devolved, a similar scheme to the LCF may be established by the devolved governments. The Scottish Government has chosen to implement a similar scheme, regulated by the Scottish Environment Protection Agency (SEPA). The Welsh Government has released details on the proposed Landfill Disposals Tax (LDT) Communities Scheme.
Please see the Wales page on our website for more information and links.