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Daily Newsletter

01 July 2025

Daily Newsletter

01 July 2025

Packaging changes under net zero plan push wine prices higher

The increase comes after government measures requiring glassmakers to adopt greener methods to cut emissions from carbon-intensive packaging.

Mohamed Dabo July 01 2025

Wine prices in the UK are set to climb by an average of 9p per bottle as the glass industry begins passing on costs linked to new net zero rules, according to a recent analysis.

The increase comes as glass manufacturers adapt to environmental levies designed to cut carbon emissions from bottle production.

Glass industry faces higher costs from net zero policies

Under government initiatives aimed at achieving net zero emissions, glass makers are required to invest in technologies that reduce their carbon footprint.

These measures include switching to low-carbon energy sources and implementing carbon capture systems.

Industry experts say the extra costs of producing lower-emission glass are now being transferred to customers, with wine importers among the first to feel the impact.

Impact on wine drinkers and suppliers

The added expense is already filtering through to the retail market, where wine buyers will see small but noticeable price increases on shelves.

Industry bodies warn that while the 9p per bottle hike may seem modest, it comes on top of other cost pressures facing the drinks sector, such as rising shipping fees and currency fluctuations.

Some suppliers argue that the cumulative effect could dampen consumer demand, particularly for lower-priced wines that compete on tight margins.

Environmental goals drive changes in packaging

Despite the price rise, environmental groups and government officials maintain that reforms to glass production are crucial for meeting the UK’s legally binding net zero targets.

Glass packaging remains one of the largest sources of carbon emissions in the drinks industry.

By pushing manufacturers towards greener processes, policymakers hope to significantly reduce the climate impact of everyday products like wine bottles. However, analysts suggest that if energy costs remain volatile, further increases in packaging-related prices could follow.

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