Aggregates levy

The Aggregates Levy is a tax on rock, gravel and sand that is extracted for sale in the UK.

The tax was introduced:

• because mining and dredging rock, gravel and sand has an impact on the environment
• to encourage the use of alternative materials, such as recycled aggregates.

In Scotland, the Scottish Aggregates Tax is scheduled to come into force on 01 April 2026, replacing the existing UK Aggregates Levy within Scotland. The new Scottish Aggregates Tax follows the same environmental goals and is managed by Revenue Scotland.

For more information visit the Revenue Scotland - Scottish Aggregates Tax webpage.

What you must do

If you mine, quarry, dredge or import rock, gravel or sand for sale you must:

• register for the aggregates levy with HM Revenue and Customs (HMRC)
• pay £2.00 per tonne of rock, gravel or sand that you mine, quarry, dredge or import for sale
• submit a return to HMRC every three months, or annually if agreed with the HMRC
• keep records about the levy, including accounts and invoices.

There are some exemptions, for example if you use limestone to produce lime or cement.

Further information on the aggregates levy

• HMRC: Aggregates levy introduction
• Scottish Government: Aggregates levy funding in Scotland