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  1. ITV Report

Plastic bag charge: Where does your 5p go?

  • Video report by ITV News Consumer Editor Chris Choi

Shoppers across the UK have now been paying 5p for a plastic bag for a year - but where does that money go?

On October 5, 2015, England became the last part of the UK to introduce a 5p charge for carrier bags.

Not only has this resulted in 130 million less bags being used, the proceeds have also benefited many charities.

How much of your 5p goes to charity? Credit: PA

After 1p of VAT is deducted from the 5p cost of a bag, this is how much supermarkets donate to charity:

  • Asda and Morrisons donate the entire 4p
  • After deducting "reasonable expenses" Tesco donates 3.6p
  • Sainsbury's says its bags are not designed for single use and cost more to make so donate 1p per bag

While the amounts donated to good causes differ, none of the supermarkets are making a profit from plastic bag sales.

The Government, however is, making £18 million in England in the last year.