Frequently Asked Questions
How does the Landfill Communities Fund (LCF) work?
The LCF encourages and enables Landfill Operators (LOs) to support a wide range of environmental projects by giving them a 90 per cent tax credit against their donations to Environmental Bodies (EBs). These donations are capped at 6.6 per cent of the LO's landfill tax liability.
Am I eligible to receive funds?
A very wide range of organisations may register as EBs and receive LCF money. In addition, many organisations benefit from LCF funding without enrolling as EBs, choosing instead to work with Distributive Environmental Bodies (DEBs). However, whichever route to funding suits your organisation, you must comply with the following:
- 1) Not-for-Profit. You don't have to be a charity, but any surplus you make must be used to further your organisation's objects. Surplus must not be used to pay dividends or other rewards.
- 2) Your organisation must not be controlled - directly or indirectly - by a Local Authority or be an LO registered for landfill tax.
Who distributes the Funds?
Donations can only support projects that fall within LCF Objects. All LO donations must be made to EBs registered with ENTRUST, but within these restrictions the allocation of landfill tax credits remains at the sole discretion of the donor LO.
ENTRUST does not allocate grants or have the power to compel an LO to fund a particular project. Neither does ENTRUST have the power to prevent the funding of a compliant project (i.e. a project that falls within the objects of the LCF). Consequently, ENTRUST takes no view on the relative value or merits of particular projects.
Registering as an EB is a quick and simple process. However, there are other routes to funding through the LCF and you may wish to investigate these first.
How do I find funds?
One route is to approach Distributive Environmental Bodies (DEBs). These organisations help others to access landfill tax credits and not all require those they help to become EBs themselves. Some act as agents for groups with compliant projects. It's usually best to approach DEBs first, then LOs. If you do intend to approach LOs, you will need to register with ENTRUST beforehand; you may wish to seek an expression of interest first.
What is a Contributing Third Party (CTP)?
CTPs are playing an increasing role in the LCF. These organisations help unlock otherwise unused landfill tax credits, by refunding the cost of participation to LOs. Projects with committed CTPs are more likely to receive funding.
Where can I find a list of people who will fund the project I wish to undertake?
Within the Landfill Communities Fund (LCF) there are two types of organisation that can fund a project. These are called Distributive Environmental Bodies (DEBs) and Landfill Operators (LOs). You can find a list of funders HERE. The list of registered landfill operators is available from the HM Revenue and Customs Website HERE.
Where are the nearest LOs to my project site?
ENTRUST are just the regulator of the LCF, we do not record where landfill sites or their operators are in the UK. To find your nearest landfill site go to the Environment Agency website (HERE) and look at the 'What's in my back yard' section. The contact details of LOs can be found on the HMRC website HERE.
How long does it take to enrol as an EB and register my projects?
ENTRUST will enrol organisations and register their projects within 10 working days of a complete application being made. However we are currently achieving both in, on average, 5 working days providing all the correct information is provided to us at the point of application.
Do I have to complete and submit an annual return (form 4) even if I have received no money?
If you have not received any landfill tax credits in the last year - either by transfer or contribution directly from a landfill operator - and your return would be starting with a zero balance, then you can simply sign and return the annual reminder letter where indicated. This will keep you enrolled for another year. If you no longer plan to undertake projects or receive funding you can request revocation from the LCF.
Does my organisation fit the criteria required to Enrol as an EB?
We can give you an 'in principle' if you contact the Technical Department on 0161 972 0044. You must:
- 1) Operate on a not-for-profit basis.
- 2) Have some form of governing document, the objects of which must match one of the objects of the landfill tax regulations.
- 3) Your organisation must not be controlled by local authority or landfill operator members.
How do we access ENTRUST funds?
There is no such thing as 'ENTRUST funds'. ENTRUST are the regulator of the LCF we do not provide or distribute funds in any way.