The government can issue fines and enforcement actions for businesses that fail to meet recycling requirements. If you do not comply with these requirements by 31 March 2025 (or 31 March 2027 for micro firms), you are at risk of receiving a compliance notice from the Environment Agency. Compliance notices can also be issued against anyone who is not separating waste in agreement with their waste collector.
There is also the reputational and potential brand damage to consider if your company receives enforcement actions and this is posted on social media or news channels.