In this issue. Issue 254 February 2018

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1 CPI News is issued fortnightly to keep CPI Members informed of developments within CPI, and the issues with which it is dealing. This newsletter is private and intended for use within CPI and its Members. Whilst it may be copied or circulated within CPI Member companies, it must not be circulated outside of CPI membership. Competition and Markets Authority Launches New Campaign The Competition and Markets Authority (CMA) has launched a new campaign to raise awareness of cartels, and the damage these do to UK businesses and consumers. They re a risk to the UK because: Cartels are often an unseen form of crime they occur in secret and manipulate prices to keep them high They can occur at any level of the supply chain, which means higher costs are often passed onto other businesses who directly lose out People are often confused as to what a cartel is, and don t always recognise the types of activity that are illegal For those involved, the repercussions can be very serious: large fines, being banned from running a company and even prison. The aim of the campaign is to encourage more people to be Safe, not Sorry and come forward with information that will help it hunt out illegal cartels. If they are the first to come forward, they can receive total immunity, including from criminal prosecution. Witnesses who blow the whistle can receive a reward of up to 100,000. The campaign is part of a ramping up of the CMA s enforcement activity and comes after the award of an extra 2.8m from the government for this work. The CMA saw a 30% increase in tip offs in 2017, following the launch of the CMA s first digital campaign. Over the past two years, the CMA has issued 151m in fines following successful investigations into anti competitive practices and it is currently investigating 15 cases where competition law may have been broken. Issue 254 February 2018 In this issue Competition and Markets Authority Launches New Campaign EU Timber Regulation Position after Brexit and Consultation on Scheme Rules PRN Reform and Extended Producer Responsibility London Council and Veolia Fined 350,000 after Worker Crushed by Reversing Vehicle Packaging Company Fined 120,000 after Worker Left with Life Changing Injury Statistics FEFCO Summit The new campaign will target a range of industries that are at a greater risk of cartels forming. These sectors include: construction, manufacturing and business support services. These are sectors that have either a history of reported cartel activity or characteristics that make them vulnerable to cartels. The campaign has a dedicated website ( with information on reporting cartels, videos and a range of social media and online advertising. EU Timber Regulation - Position after Brexit and Consultation on Scheme Rules

2 Defra has now confirmed that post Brexit its preference is for the UK to continue to comply with the scheme, and that forestry regulations will be part of EU environmental legislation transferred onto the UK statute book through the Withdrawal Bill. While this may be the Defra preference, the present system means that once a product is on the market anywhere in the EU, it becomes compliant anywhere else in the EU. It s not clear how this system can continue to operate and how it would interact with single market access post Brexit. Meanwhile, the European Commission has opened a formal consultation into the operation of the EU Timber Regulations. From the inception of the scheme there has been concerns that a large number of timber based products are not covered notably printed products are not covered, though pulp and paper are. The incomplete coverage concerns, but is not limited to, printed books, newspapers, pictures and other products of the printing industry; manuscripts, typescripts and plans Essentially the Commission is proposing either of two actions: Contact Us 1 Rivenhall Road Swindon Wiltshire SN5 7BD Unsubscribe We hope you enjoy reading CPI News, however should you no longer wish to receive the newsletter, please let us know. a) amending the product scope to include one or more categories of products (CN codes) identified during the evaluation, as well as further relevant categories that may be identified during the assessment, or b) including all products that may contain timber and, if appropriate, providing for a list of positive exceptions that do not fall under the scope of the regulation (to be identified during the assessment). The full set of papers can be found at: consultation product scope eu timber regulation_en The consultation closes 24 April. For further information contact Steve Freeman on or sfreeman@paper.org.uk PRN Reform and Extended Producer Responsibility In 2018, the UK Packaging Recovery Note (PRN) system will be over 20 years old. In that time, it has played an integral role in increasing the UK s packaging recycling rate and in driving a more circular UK economy. However, there is broad recognition that to continue this good progress, the current system needs to be reformed both to increase funding for recycling and litter prevention and to ensure continued compliance with the EU Circular Economy Package. The UK s Paper based Industries have engaged in a wide dialogue with key stakeholders, with the aim of developing proposals that have widespread acceptance. CPI has issued a Position Paper which presents the principles for such proposals. They are fully endorsed by the UK s Paper based Industries and their underlying principles are shared by all stakeholders in the UK packaging supply chain, across all material sectors. The Position Paper can be viewed at: For further information contact Simon Weston or sweston@paper.org.uk. London Council and Veolia Fined 350,000 after Worker Crushed by Reversing Vehicle

3 London Borough of Croydon and Veolia ES have been fined after a worker was crushed by a reversing dust cart, suffering significant injury. On 9 May 2016, an employee of London Borough of Croydon, working within the motor vehicle repair undertaking of Veolia ES (UK) Limited as a workshop cleaner, was struck by a reversing 17 and a half tonne dust cart. The worker suffered multiple fractures to his right fibula, femur, knee, ankle, wrist and hand. He also suffered a degloving injury to his right hand requiring a skin graft. An investigation by the Health and Safety Executive (HSE) found the workshop cleaner was employed as a supported employee due to his learning difficulties with a recognised need for heightened supervision. Due to his work, he was often required to work in parts of the site, such as the workshop, where large vehicles with low rear visibility for drivers were manoeuvring. He was known to have a history of standing in the path of moving vehicles, an issue known to both duty holders which they failed to address adequately. London Borough of Croydon had relied upon a historical agreement from 2003 whereby its previous waste contractor had agreed to supervise the workshop cleaner. The court heard that direct management or supervision of the individual had diminished over time and the worker was left with no active management. It was found that London Borough of Croydon failed due to its presumption that Veolia was managing the injured party and that it should have communicated with Veolia to keep its employee safe. Veolia ES (UK) Limited did not recognise this agreement nor did it require the services of the workshop cleaner but, nevertheless, the worker continued to operate within its workshop and had done since their contract began. It was found in court that Veolia failed to take reasonably practicable precautions to ensure the injured party was safe whilst working within its workshop due to a lack of implementation of adequate controls for workplace transport such as use of a banksman. The court also heard both duty holders failed to take into account the specific capabilities of this vulnerable worker and to take reasonably practicable steps to ensure the safety of this individual working within a high risk environment. London Borough of Croydon was fined 100,000 and ordered to pay costs of 10, Veolia ES (UK) Limited pleaded guilty to breaching section 3(1) of the Health and Safety at Work Act 1974 and was fined 250,000 and ordered to pay costs of 11, Speaking after the hearing, the HSE inspector said: This serious workplace transport incident could have been avoided if both duty holders had taken the appropriate safety precautions when planning this activity. Failing to identify the risks led to this man suffering serious life changing injuries. For further information contact Andrew Braund on or abraund@paper.org.uk Packaging Company Fined 120,000 after Worker Left with Life-Changing Injury Packaging firm W K West Limited in Sheffield has been fined 120,000 with costs after a worker suffered lifechanging injuries. The incident happened on 3 October 2016 when the worker, who was employed as a driver by company, having finished his driving duties for the day, was asked to work in the factory. The supervisor had set up a circular saw and demonstrated the task of pushing stacked cardboard sheets through the saw to pre determined sizes. During the demonstration, no push stick or jig was used to push the cardboard through the blade. After the demonstration the worker was left unsupervised. As he pushed the cardboard through the blade by hand, the cardboard twisted and pulled his right hand into the blade. The worker s injuries were so severe that part of his index finger and ring finger had to be amputated from his right dominant hand, with his middle finger being damaged.

4 An investigation by the HSE found the company did not provide suitable and sufficient training, supervision and assessment of the risks that were necessary for the safe use of the circular saw. After the hearing, the HSE inspector commented: Circular saws have a well known accident history of severe hand injuries. This incident could so easily have been avoided if suitable control measures had been implemented and safe working practices had been followed. Employers should make sure they properly assess and apply effective control measures to minimise the risk of personal injury from dangerous parts of machinery. For further information contact Andrew Braund on or abraund@paper.org.uk Statistics UK Paper and Board Consumption Packaging emerged as the UK s biggest sector during 2017, a year which saw a further decline in the Graphics sector. Overall, consumption declined by 120,000 tonnes to 8.67 million tonnes: Sector Jan Dec 2016 Jan Dec 2017 % change (million tonnes) (million tonnes) Graphics incl. Newsprint Packaging of which CCM Parent Reels of Tissue Other TOTAL Recycling Rates In addition to the consumption noted above, there was a further net import of 929,000 tonnes of paper and board products together with 1.72 million tonnes of transit packaging according to official data sources, indicating arisings of million tonnes of paper and paper products in total. Of this, some 7.77 million tonnes were recovered, giving the UK a total recycling rate of 69%. As both arisings and recovery have declined slightly, and at the same rate, the recycling rate remains unchanged from For packaging, the Environment Agency s National Packaging Waste Database indicates some 4.05 million tonnes of paper based packaging was recycled by accredited reprocessors, giving a packaging recycling rate of 85% when compared with officially estimated total packaging placed on the market. CPI s own estimates of packaging recycling are somewhat higher at 4.52 million tonnes, giving a recycling rate of 95%. CPI Accident and Injury Statistics 92 reportable injuries were recorded by CPI Members in the 12 months to December 2017, a slight increase on the 90 reported the previous year. With employment levels relatively stable at 19,500 employees, the overall injury rate increased slightly to 471 per 100,000 employees. This is slightly above the HSE s Manufacturing injury rate for 2016/2017 of 468, although it should be noted HSE record Over 7 day lost time injuries only while CPI continues to record Over 3 day lost time injuries in addition. Of the sectors, Papermaking recorded five fewer injuries and an improved injury rate of 607 per 100,000, whilst Corrugated Sector declined from 361 to 407 injuries per 100,000 with 39 reportable injuries, seven more than The Recovered Paper Sector remained stable at 211 injuries per 100,000. Otherwise, the Corrugated sector reported a total of 3,403 safety related incidents (First aid, Property damage and Near miss incidents) and 78,480 safety observations (unsafe conditions or acts and safe acts), while the Papermaking sector reported 26,749 safety incidents and 48,013 safety observations. For further information contact Nick Langdon on or njlangdon@paper.org.uk

5 FEFCO Summit The FEFCO Summit will be hosted for the first time in Stockholm, at the Brewery Conference Centre, on May The FEFCO Summit is titled Circular by Nature and will illustrate the truly circular nature of corrugated packaging. Delegates will be updated on the market, retail and customers issues. It is a unique occasion to listen to outstanding industry leaders and also hear from retailers. The programme will highlight the impact of the latest EU decisions on the Circular Economy and the Waste Package, one of the key policy areas for the Corrugated Industry. The preliminary programme is available here. How to Register Please click here. Members will need their credentials to be able to register. If you need reminding of these, click on I forgot my password. The early bird registration fee is available until 16 March For group discount registrations (as from 11th participant), please contact mhouriet.lefebvre@fefco.org Accommodation Book your room here. Please be aware that hotels in Stockholm are extremely busy all year around, so you are advised to book your room as soon as possible. The FEFCO Summit bedroom allocations are for May If you would like to extend your stay in Stockholm, please contact the hotel directly and refer to the "FEFCO Summit". For further information contact Andy Barnetson on or abarneston@paper.org.uk Paper the sustainable, renewable choice