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Budweiser Budvar ordered to contribute £400k to charity after failing packaging regulations

Bristol-based beer importer Budweiser Budvar UK has been ordered to contribute more than £400,000 to Keep Britain Tidy after failing to register as a producer of packaging.

Budweiser Budvar is a Czech brewery, independent of the global brand InBev Budweiser.

Following a long trademark dispute Budweiser Budvar has the rights to the name Budweiser in most of Europe and Anheuser-Busch InBev has this right in North America.

Consequently, AB InBev uses the name 'Bud' in most of Europe and Budvar sells its beer in North America under the name'Czechvar'.

Budweiser Budvar UK should have registered in 2004 under regulations on packaging waste and took steps to ensure the waste was recovered and recycled.

But an investigation by the Environment Agency found that the company had failed to do so, claiming it was 'unaware' of the regulations until the agency stepped in.

Following the investigation, the company has now contributed £414,003.54 to Keep Britain Tidy for use in their Great British Spring Clean campaign.

The sum was paid as part of a reactive Enforcement Undertaking – a legal agreement between the Environment Agency and an offender as an alternative action to prosecution or other monetary penalty.

The payment was agreed as the amount saved by the company in not recycling or recovering packaging waste, plus a penalty of 30%.

In addition, the company has covered the Environment Agency's costs.

Jake Richardson of the Environment Agency said: “We investigated and found they had failed to comply with the regulations and had consequently not paid its rightful share towards the recycling of its packaging. When the company realised this, it wanted to do the right thing and so it submitted an Enforcement Undertaking offer, which ensured that all avoided recycling costs were donated to a project that will enhance, restore and protect England's natural environment.”

Article from "PackagingNews"