A Tradesperson’s Guide to Scrap Metal Recycling Regulations in 2026

Scrap metal recycling regulations are always changing. Especially with the UK government prioritising a circular economy, net zero goals and more sustainable resource management.

As a licensed scrap metal yard, we stay on top of all current legislation to ensure our merchants provide a fully compliant service. But what do these laws actually mean for you as a tradesperson? We’ve broken down the main regulations governing the scrap metal industry in 2026 and how they directly affect you below.

Simpler Recycling

Under the updated ‘Simpler Recycling’ policy, all businesses in England must separate core recyclable waste from general waste for collection. In other words, it’s your legal responsibility to recycle metals instead of sending them to landfill. Currently, this only affects businesses with 10 or more employees, but by 31st March 2027, businesses of all sizes must comply. 

So, gone are the days of chucking metal offcuts into a general skip or waste bin, which is exactly why you should be using a scrap yard. Scrap metal recycling isn’t just about maximising returns anymore, it’s becoming a legal requirement.

Mandatory Digital Waste Tracking

From October 2026 onwards, Mandatory Digital Waste Tracking is replacing traditional paper-based alternatives. This means all businesses who produce, handle or dispose of waste (including scrap metal recycling businesses) must log their waste movements on a singular, digital platform. 

The UK government has introduced this in order to improve transparency, reduce illegal disposal and support sustainable resource management – in the hopes of doubling resource productivity and eliminating avoidable waste by 2050.

This new tracking method means we may ask you for more detailed information during your weigh-in, but this will help you stay compliant. Choosing a licensed scrap yard like ours means your waste is logged correctly, protecting you from any future questions about where your leftover materials ended up.

Metal Shredder Residue (MSR) Regulations

In March 2026, the Environment Agency extended Regulatory Position Statement (RPS) 314 (contains rules on accepting metal shredder residues and post shredder treatment residues at landfills) for an additional 12 months. This provides stability for scrap metal yards while work continues to find a more practical, long-term solution for managing metal shredder residues and similar hazardous waste.

At the moment, there are strict rules on what shredder residue scrap yards can process and how they must handle it, which means we’re under more pressure to only accept clean, uncontaminated metal.

Not only does this actually make our job easier, but it makes your weigh-in more profitable too! If you arrive with fully prepared (as far as reasonably practicable) scrap, such as stripped cable/wire, or clean metal with rust and non-metal attachments removed, this will increase the grade which as you’ll know, also increases its final price.

Are You a Plumber, HVAC Engineer or Demolition Contractor?

If you’re a plumber, HVAC engineer or demolition contractor, it pays to keep up to date with Hazardous Waste Regulations.

For example, lead-acid batteries, lead pipe or other chemicals/industrial byproducts are all classed as hazardous waste. Under the Hazardous Waste Regulations 2005, these substances must be tracked and disposed of safely. If your business produces more than 500kg of hazardous waste, you are required to register with the Environment Agency and all waste movements must be properly documented. Using a licensed, compliant scrap yard ensures you tick all of these boxes.

Weigh-It-In with KAS for a Fully Compliant Process

Worried about staying compliant? With a licensed scrap yard like Kas Metal Trading, you don’t need to be.

We can guarantee…

• Safe and legal transactions with full proof of sale.
• Correct tracking, logging and processing of core, recyclable waste.
• Lawful handling and management of hazardous and non-hazardous waste.
• Globally regulated scrap metal prices, always based on live market rates from the London Metal Exchange (LME).
• A wide range of compliant but flexible payment options, including cheques, bank transfers or our pre-paid card method.
• Support with the latest scrap metal recycling regulations in 2026 and beyond.

Serving All Areas of the North West

From Bolton and Chorley to Wigan and Preston, our friendly and professional scrap metal merchants are based in Atherton – meaning we’re well-located to serve Lancashire and Greater Manchester, as well as their surrounding areas. Visit us at M46 0RY today!

Other Areas Covered:

• Astley
• Farnworth
• Leigh
• Salford
• Tyldesley
• Walkden
• Westhoughton  
• Worsley