Guidance

U9: using waste to manufacture finished goods

U9 exemption allows you to use waste in place of raw materials to manufacture a finished product.

Applies to England

There’s a charge for most waste exemptions

This exemption is in band 1. Read waste exemption charges to find out what the charges and charging bands are.

Types of activity you can carry out

These include using:

  • boiler ash to manufacture breeze blocks
  • waste textiles to manufacture carpet underlay

Types of activity you cannot carry out

You cannot use this exemption if your operation involves any activity described in part A (1) or part A (2) of part 2 of Schedule 1 of the Environmental Permitting (England and Wales) Regulations 2010 (as amended).

These are industrial scale processes which need an installations permit.

Other things you need to know

For the purposes of this exemption, ‘finished goods’ means goods that are ready for use by an end consumer without any further processing. Waste derived finished goods still need to meet the end of waste test.

A manufacturing process should result in a product that is significantly different from the raw materials that it was made from.

Wood chip is not considered to be finished goods.

Types and quantities of waste you can use

The waste codes are listed in the List of Wastes (LoW) Regulations. You need to make sure your waste fits within the waste code and the description.

Waste code Type of waste Quantity (tonnes) at any one time
10 01 01
10 01 02
Ash only 500
10 12 08 Ceramics 100
10 11 12
15 01 07
19 12 05
20 01 02
Glass 5,000
10 01 05 Gypsum only 500
20 01 99 Lion faeces only 5
12 01 01
12 01 03
15 01 04
16 01 17
16 01 18
19 10 01
19 10 02
19 12 02
19 12 03
20 01 40
Metals 500
15 01 01
19 12 01
20 01 01
Paper and cardboard 15,000
07 02 13
12 01 05
15 01 02
19 12 04
20 01 39
Plastics 500
19 12 04 Rubber only 30
04 02 21
04 02 22
15 01 09
19 12 08
20 01 10
20 01 11
Textiles 1,000
03 01 05
03 03 01
15 01 03
19 12 07
20 01 38
Wood, bark, cork, sawdust, shavings, cuttings, particle board 100

The waste must be stored in a secure location at the place where the manufacturing is carried out.

Ash, ceramics, glass, gypsum, metals must be stored at a secure location with sealed drainage.

Lion faeces, textiles, wood and bark must be stored indoors or in a secure container.

Paper and cardboard must be stored in bales, in a container or indoors.

For paper and cardboard, up to 1,000 tonnes can be stored outdoors in an enclosure designed and maintained to prevent escape of litter.

Heat treatment is not permitted for plastics and rubber.

Within the 30 tonnes limit for rubber, you must store it in piles no bigger than 10 tonnes, with a gap as a fire break between each pile.

You should not use any more waste than you need to or this will be considered as waste disposal and will not be exempt.

T1: cleaning, washing, spraying or coating relevant waste

T2: recovering textiles

T4: preparatory treatments such as baling, sorting, shredding

If you want to use waste without treatment for a specified purpose you could register U8: using waste for a specified purpose.

If you want to use more waste than is allowed or a type of waste which is not allowed, you will need an environmental permit.

Register a U9 exemption

You need to register this exemption with the Environment Agency if you meet the requirements.

Updates to this page

Published 28 April 2014
Last updated 1 July 2025 show all updates
  1. Updated with a link to new information about charges and charging bands for waste exemptions.

  2. Added a sentence to the section 'Other things you need to know': Waste derived finished goods still need to meet the end of waste test.

  3. First published.

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