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Entrepreneurs and startup whizz-kids should take note of the business opportunity in the latte levy

There's money to be made in coming up with an alternative, reusable cup that works for people on-the-go. Entrepreneurs take note

James Moore
Chief Business Commentator
Friday 05 January 2018 11:39 GMT
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The drive to recycle disposable coffee cup needs a shot of caffeine
The drive to recycle disposable coffee cup needs a shot of caffeine (Getty)

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They call it the “latte levy”. And of course Twitter has come up with a million variations. The “cappa-charge-o”. The “ameri-charge-o”.

I am of course referring to the call made by the Parliamentary Environmental Audit Committee for the imposition of a 25p charge on disposable coffee cups.

It’s based on the fact that what millions of us drink coffee from – sold by the ubiquitous espresso bars up and down Britain – are almost never recycled. The figure sits at about one per cent.

Why? It’s because of the plastic lining. As a result literally billions of the things end up in landfills, or incinerators, or being shipped overseas for someone else to deal with. The number of them discarded every year probably stretches around the earth multiple times, or something like that.

It’s a serious issue because ultimately everyone pays a price for the things, and potentially quite a high one if you consider how environmentally damaging that lining is. The fact that it’s an unseen cost doesn’t mean that it isn’t there.

Coffee chains like to portray themselves as cuddly because lots of their customers like to think of themselves as cuddly too, hence the pictures of happy growers working in sunny fields on the bags of beans they sell as a sideline. Look, see, we’re fairtrade!

But their behaviour when it comes to cups isn’t fair at all, at least when it comes to our children who’ll have to live on this mucky rock and face the challenge of cleaning it up after we’re gone.

MPs have complained about a lack of engagement, and an unwillingness on the part of the industry to become part of the solution, in stark contrast to their cuddly marketing spiel.

But the coffee consumer’s behaviour is no better. It’s no good making a big deal about how we like to drink fairtrade coffee when the receptacle we drink it from is poisoning our backyard.

With neither consumers nor coffee chains prepared to act – after discounts on reusable-cup refills proved an abject failure – it requires the Government to step in and sort it out. This is what government is supposed to do.

It has acted before, with the plastic bag tax, which has proved a success. Supermarkets didn’t like it when they had to impose it, and nor did their shoppers. But you know what? After the initial moans we’re now all of us used to it, and it’s just part of life. I have one of those bag-for-life things stashed permanently in the back of my car. It has a Star Wars design on it, because people realised there was a business opportunity in selling the things. Who knew?

There might also be a business opportunity if the same happens to disposable cups. I’m just spitballin’ here but how about a foldable reusable cup you can slot into your briefcase and yet still feels good to drink out of? Or a flat one. Or… something.

C’mon you entrepreneurs and clever clogs! My kitchen is full of gadgets for the making of coffee. What about something new for the drinking of it? Get thee down to Dragons’ Den! There’s money to be made here. Economic activity to conduct. People to be hired. (By the way, if the thing already exists, my apologies. On the other hand, you need to work on your marketing because I’m a confirmed coffee-holic and I haven’t seen it yet.)

The only controversy here is why we’re still talking about it, and why ministers are continuing to drag their feet on it. The issue isn’t new. I’ve written about it before.

The latte levy is a thoroughly good idea. It’s just in desperate need of a shot of caffeine. Here’s hoping the committee’s report does the trick and the entrepreneurs then do their bit.

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