What is the issue?
It is not just your usual consumer goods that flow between the UK and the EU – waste does too and in vast quantities – 3 million tonnes of domestic waste are exported from the UK each year to the continent, in particular the Netherlands, Germany and Scandinavia, to be either recycled or used as refuse-derived fuel. In the event of a no-deal Brexit, this waste’s transport will either be physically prevented, delayed by port congestion or its export will become uneconomical, due to continued falls in the value of the pound and the imposition of World Trade Organization tariffs.
So, what would happen to all that waste?
With the UK not having the facilities to treat and recycle such waste, it only has one place to go and that is landfill. Not only does this harm the environment, it would add millions of pounds of extra costs on to local councils. Moreover, Suez, one of the market leaders in the waste management sector, believes this situation would likely lead to the UK falling short of current waste management targets. There is a high level of concern amongst local authorities, with a significant number rating the possibility of disruption as medium or high risk in their Brexit contingency planning.
Not good news if you live up North…
Given the UK’s demographics and geography, most waste is created in the populous London and South East region and this region has very little landfill capacity. Thus, less densely populated parts of the country would need to accept overflow, most likely landfill sites in Yorkshire and Lincolnshire. As Mary Creagh, MP for Wakefield, in West Yorkshire, and chair of the Commons Environmental Audit Committee, said,
“What we ask from the south is more power for the Northern Powerhouse and equivalent investment in our transport network, to ensure it is fit for the 21st Century. Yet what we get in no-deal Britain is literally, rubbish.”
Is there a solution?
In short, yes: waste-to-energy. Part of the reason these EU countries take our waste is because they are so efficient at dealing with their own, through a combination of recycling and turning it into energy through waste-to-energy plants. These plants either incinerate waste or create refuse-derived fuels, which can then be used to create heat for industrial processes.
Invest in the future of waste management…
We are raising funds for a company that is building a portfolio of these waste-to-energy sites in the UK – sites that take waste and turn it into renewable energy fuels, creating a hugely profitable business, helping alleviate the environmental damage of landfill and adding to our energy security in the event of a no deal Brexit.
Please be aware that with investment your capital is at risk and returns are not guaranteed. These investments are not covered by the FSCS and security measures are not a guarantee of repayment. These investments are not readily realisable, and you should be prepared to hold it for the full investment term. The past performance is not a guarantee of future performance. You can read more about the general risks of investment on our website and should refer to the offering document for risks specific to this investment. With IFISA investments tax rules apply and are dependent on your individual circumstances. Please click here to view our full disclaimer.