How The Pallet LOOP is preventing pallet waste in UK construction

The construction industry is under huge pressure to improve its sustainability credentials. A recent report published by the UK Green Building Council revealed that the industry is significantly behind in meeting the country’s net zero objectives.

The 2050 net zero target may seem far away, but time is running out to implement changes. Nonetheless, the construction sector is already making significant strides, with more sustainable materials being used, cleaner power generation and all-electric tools and plant equipment in sites across the UK.

If the industry is to achieve its net zero targets, the entire supply chain must collaborate to implement innovative solutions at pace to meet objectives and reduce waste.

One key area for waste prevention is in the distribution of products, particularly the use of pallets. Read on below to find out how The Pallet LOOP is preventing pallet waste in UK construction.

Understanding pallet waste

According to the UK government, the construction sector generates around 60% of waste in the UK. One of the major contributors of this in logistics is the discarding of used pallets. This is because they have traditionally been viewed as a single-use, disposable item for delivering goods.

According to The Pallet LOOP, more than 20 million wooden pallets are manufactured and distributed throughout the UK construction industry. Less than 10% of these are reused. In contrast, the fast-moving consumer goods (FMCG) retail sector reuse around 98% of pallets.

At British Gypsum, part of Saint-Gobain Interior Solutions, we are working to reduce our pallet waste through our partnership with The Pallet LOOP.

What is The Pallet LOOP?

The Pallet LOOP is an award-winning circular economy pallet reuse scheme designed specifically for the construction sector. This innovative supply chain solution incentivises and facilitates the recovery, repair and reuse of pallets - preventing them from being unsustainably disposed of.

LOOP Pallets are distinctly green in colour, with some specifications having enhanced strength and durability to support multiple use through the supply chain.

By partnering with The Pallet LOOP, British Gypsum has become the first building materials manufacturer in the UK to adopt a circular pallet reuse scheme, initiating a sector-wide solution to enhance sustainability.

How does The Pallet LOOP work?

The sustainable pallet reuse scheme operates through four key stages.

Firstly, The Pallet LOOP delivers LOOP pallets to British Gypsum.

Next, we then use LOOP pallets to deliver our products to merchants and distributors and construction sites nationwide.

After registering with The Pallet LOOP, merchants, distributors and contractors can arrange a pallet collection once the pallets are empty.

The Pallet LOOP then collects the pallets and provides a PayBack of up to £4 per pallet. If the pallets require repair or cleaning, the PayBack is reduced to £2. Pallets are then refurbished and reissued back to British Gypsum - restarting the cycle.

How does the PayBack work?

When pallets are ready for collection, customers can contact The Pallet LOOP by phone or email. They must be registered with The Pallet LOOP prior to booking a collection. After the pallets are collected and inspected, customers will then receive their LOOP PayBack.

Are the pallets tracked?

In an industry first, each LOOP pallet contains a RFID (radio frequency identification) tag. The tag provides tracking of when pallets are dispatched from The Pallet LOOP’s manufacturing yards to when they are returned to their receiving depots.

Each RFID tag also provides key management information to include pallet cycle times, dwell times, damage rates and recovery patterns. Registered customers of The Pallet LOOP have access to their own reporting dashboard to review this data. The platform also includes a range of tools which allow customers to calculate the tangible financial and environmental benefits of adopting The Pallet LOOP collection service.

Why has British Gypsum partnered with The Pallet LOOP?

As a leading manufacturer of construction products, we use approximately 1.6m pallets each year. By moving to a circular pallet re-use scheme our aim is to radically reduce the avoidable waste that can result from pallets being disposed of unsustainably.

This partnership supports our commitment to achieving net zero carbon by 2050 and the initiative is one of many set out in our sustainability roadmap, which aims to minimise waste, re-use materials and tackle emissions to reduce environmental impact at every stage of build.

We hope our partnership with The Pallet LOOP, using its reusable pallets and service-led collection model, will also enable us to work with our customers to support their own reductions in waste and net zero targets.

When was The Pallet LOOP scheme implemented at British Gypsum?

The scheme has been implemented in two phases.

In May 2024, we began distributing our bagged plaster on the instantly identifiable, green-coloured LOOP pallets. From July 2024, our plasterboard range, based on pallet size, has started to transition over. By the end of 2024, we expect to have 70% of our products delivered on reusable pallets. It is hoped the remaining 30% will move across in early 2025.

Building Better with British Gypsum & Saint-Gobain Interior Solutions

Our partnership with The Pallet LOOP is just one of the ways we are supporting the construction industry with the move towards a sustainable future. Of course, sustainability is only one aspect of our efforts to Build Better communities for today and tomorrow.

With the construction industry changing at such a pace, we have created a place where key decision makers can keep in touch with the changes being made.

Discover the Building Better hub - our central platform for news, videos, podcasts and more where we share more information about our sustainability initiatives, as well as guidance on how you can improve and enhance your business’s ESG efforts.