Under packaging waste regulations the beer importer, which has its UK head office in Bristol, should have registered as a producer way back in 2004.
The Environment Agency was alerted to the situation and began an investigation in 2022.
Its report into the breach said: “The company claimed it was unaware of the regulations until the agency stepped in.”
Budweiser Budvar has now contributed £414,000 to Keep Britain Tidy, with the funds to be used for its Great British Spring Clean campaign.
The payment was agreed based on 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.
It was a reactive Enforcement Undertaking, which are agreed between the Environment Agency and an offender as an alternative to prosecution or other penalties.
Environment Agency senior technical officer Jake Richardson said that it was important that businesses take responsibility for the packaging that they place on the UK market and contribute towards the cost of recycling the packaging that they add to UK waste-streams.
“In this case, 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.”
Budweiser Budvar UK had sales of £18.85m last year and made a gross profit of £5.6m.