Environmental taxes, reliefs and schemes for businesses

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Aggregates Levy

This is a tax on sand, gravel and rock that’s either been:

  • dug from the ground
  • dredged from the sea in UK waters
  • imported

What you need to do

You must register with HM Revenue and Customs (HMRC)​​ if your business commercially exploits aggregate in the UK, for example if you’re a quarry or borrow pit operator.

Every quarter, you must tell HMRC how much aggregate you’ve produced or sold.

How much you pay

You pay tax of £2.08 per tonne of sand, gravel or rock. You pay less on smaller amounts, for example £1.04 on half a tonne. You still pay tax if you import the materials.

Reliefs

You can get tax relief if you export aggregate or use it in some industrial or agricultural processes. Find out how to claim tax relief.

Exemptions

Certain materials, for example clay and slate, and certain products from other types of extraction are exempt from Aggregates Levy. Find out what is exempt and how to report it to HMRC.

If you need more help

There’s more detailed guidance on Aggregates Levy or you can contact the helpline.