As we approach the Simpler Recycling deadline for all local authorities to be providing a weekly food waste collection in England (1), we have been looking at the current market trends for organics treatment. The graph below shows a snapshot of market prices for Anaerobic Digestion since January 2025.
Source: Let’s Recycle
Graph updated in March 2026
Note: the positive number indicates that the supplier of food waste could be paid for the food waste, rather than being charged a gate fee
Focussing specifically on AD, there has been a steady change over the last 10 months. In January, prices were ranging from a £10/tonne income to £5/tonne gate fee, whereas by October, this has moved to a £1/tonne income to a £16/tonne gate fee. The median is also plotted in the graph above.
This isn’t to say that these prices would be achieved should a food waste contract be procured right now, as this is based on current operating contract prices (and in reality, it could be more expensive than this), subject to how attractiveness of the contract for food waste processing. This is partly how the contract is defined e.g. how its terms, defined operational aspects and payment mechanisms are set out, partly a factor of the procurement itself (duration, risk etc) and partly a factor of the available capacity within a reasonable distance of the waste source. It should also be noted that food waste can travel a considerable distance economically, due to relatively small volumes generated (but high density).
We will certainly be keeping an eye on market rates, and it will be interesting to see what the market prices look like as we enter the new year, with the 31st March deadline looming ever closer!
Frith Resource management provide advice on procurement and food waste management, and can be a critical friend for any issues Councils may have. For details on our activities see www.frithrm.com or call 01746 552423 or email paul@frithrm.com
(1) This excludes the 31 local authorities who have a transitional arrangement in place and therefore are not required to introduce a weekly food waste collection until a later date