Austria has abandoned plans to introduce a national plastics tax after criticism from business groups. The government will not go ahead with a national levy on single-use plastic packaging. The measure, originally due to take effect on 1 October, has been scrapped, according to Retail Austria, the association representing merchants and chains.
The industry body said that the reversal followed sustained criticism from businesses, noting that it had also lobbied policymakers in recent weeks. Their account is supported by a statement from the Austrian Ministry for Economy, Energy and Tourism explaining that the planned tax on single-use plastic packaging intended to help finance the reduction in VAT on selected staple foods would not be introduced. In deciding against the levy, the government was electing not to "create an additional burden for companies or the wider value chain". At the same time, the ministry linked the decision to current economic conditions and said its aim was to safeguard the country's competitiveness....
