What is Landfill Tax?
Waste Management Companies are obliged to pay a tax to H.M. Revenue & Customs for every tonne of waste that is landfilled. In order to discourage waste-to-landfill, the tonnage rate of £32/t in 2008/09 is increasing by £8/t per year until at least 2010/11.

What is the Landfill Communities Fund (LCF)?
The Landfill Communities Fund (formerly the Landfill Tax Credit Scheme) was introduced as part of the Landfill Tax Regulations in October 1996. The Scheme allows Landfill Operators (LO) to divert up to 6% of their landfill tax liability towards not-for-profit organisations that operate within the vicinity of landfill sites. Participation within the Scheme is voluntary and LOs can reclaim 90% of these contributions from H.M. Revenue & Customs. Landfill Tax Contributions can only be paid to enrolled Environmental Bodies, whose registration and operation is regulated by ENTRUST.

What is ENTRUST?
The LCF is regulated by ENTRUST and managed by H.M. Revenue and Customs. It is ENTRUST’s role to ensure that the LCF monies are received and spent by Environmental Bodies on projects within the governing Landfill Tax Regulations 1996. ENTRUST regulates the LCF in a number of ways including reviewing and enrolling each organisation before they receive landfill tax contributions; assessing each project for compliance with the Regulations before expenditure starts; undertaking audits to ensure organisations are acting compliantly within the Regulations; investigating allegations of breaches of the Regulations.

What is an Environmental Body (EB)?
Under the Regulations, an Environmental Body must be a not-for-profit organisation, which is not controlled by either a local authority or a LO. A landfill tax contribution may only be paid to enrolled Environmental Bodies. SWEET is a wholly independent enrolled Environmental Body that acts as a broker between LOs and projects. SWEET is obliged to ensure that all projects comply with the Regulations and that all project expenditure complies with the objects of the Scheme.
SWEET, PEC and SGEB are registered Environmental Bodies. PEC and SGEB are also charitable companies.

Does my project qualify?
There are five main types of projects that can be funded via the Landfill Communities Fund:
A) Remediation of Land
The remediation or restoration of contaminated or polluted land that cannot be used because of a ceased activity.
B) Reduction of Pollution
The reduction, prevention or mitigation of effects of pollution that has resulted, or may result, from a ceased activity.
D) Public Amenities
The provision, maintenance or improvement of a facility for the general public’s benefit for social or leisure purposes, provided the site is within 10 miles of a registered landfill site and is not operated with a view to profit.
DA) Conservation of Biodiversity
The conservation or promotion of biological diversity through the provision, conservation restoration or enhancement of a natural habitat, or the maintenance or recovery of a species in its natural habitat, on land or in water, provided the site is within 10 miles of a landfill site and is not operated with a view to profit. It is best practice that the species or habitat in question is detailed in a Biodiversity Action Plan (BAP).
E) Restoration of Religious Buildings or Buildings of Architectural or Historical Interest. The maintenance, repair or restoration of a building (or other structure) of historic or architectural interest; or a place of worship, provided it is within 10 miles of a landfill site and is open to the public and is not operated with a view to profit.

How do I register my project with ENTRUST?
SWEET can do this for you and will act as your Managing Environmental Body in reporting to ENTRUST and any contributing LO.

How does SWEET work?
SWEET will submit your project for approval to ENTRUST and, providing it is compliant with one of the objects of the Scheme, will seek funding from one or more LOs. There is no charge to you for this service but once funding is secured, we will enter into an agreement with you regarding the implementation of your project, to ensure conformity with the Regulations. SWEET will seek funding from LOs that includes a grant towards project works plus administration fees payable to both ENTRUST (2.28%) and SWEET (10%).

SWEET has administered projects within the Scheme since January 1997. SWEET has a wide range of experience to help ensure that your project complies with the Regulations and is submitted to a LO within the vicinity of your project. However, it will help your application if you have alternative sources of funding, as securing grants through the Scheme can take time and is not assured.

SWEET manages its own projects and provides company secretarial services for other EBs such as Pilsworth Environmental Company (PEC) and South Gloucestershire Environmental Body (SGEB).

How do I apply?
Applicants will need to complete the appropriate application form plus an access statement for those projects needing to demonstrate public access (Object D and Object E). Applicants should also submit copies of quotes for the proposed works and any other relevant information that enhances and supports the application form.

Prospective applicants can request forms by phone or email via the contact details below.

I’m not sure if my project is compliant – can I discuss it with someone?
Please contact a member of staff by telephone 0117 904 5858 or email sweet@lyonsdavidson.co.uk. Further guidance is available at www.entrust.org

What is the Third Party Contribution (TPC)?
Although the participation of LOs in the Landfill Communities Fund is voluntary, a contributing LO does not receive 100% tax relief on contributions given to Environmental Bodies. For every £100 given to the Scheme, the LO receives a £90 tax credit, therefore each contribution made to the LCF costs the LO 10% of the amount given. To offset the ‘shortfall’ and encourage LOs to contribute to the LCF, H.M. Revenue & Customs has stated that a contribution amounting to 10% of the total grant awarded can be paid to LOs by a Third Party, independent from the organisation receiving the grant. They have indicated that Environmental Bodies may not make these contributions and neither can contractors to Environmental Bodies. This is to avoid possible cases of fraud. The Contributing Third Party payment cannot be derived from LCF monies or from any party who will derive a unique benefit from the project.

In almost all instances, the contributing landfill company requires evidence that the TPC is in place before a grant offer is made. Generally, the project raises this money, sometimes from separate fund raising activities and at other times from match funding sources. The TPC must be 10% of the total grant offered by the LO, inclusive of fees payable to the Regulator and the managing Environmental Body.

What is SEEDCO?
SEEDCO is a not-for-profit company set up in accordance with the Landfill Tax Regulations to receive funds from Third Party Contributors for forwarding to contributing Landfill Operators.

I am a landfill operator interested in contributing to local community projects. How can I help?
SWEET works as Managing Environmental Body for a number of LOs. Please contact SWEET for a discussion.