The Environment Agency said Scholler should have been registered since 2000 but first became aware of the full extent of the requirements when contacted in October 2009. It has since registered with a compliance scheme.

Scholler handles a range of packaging materials including cardboard cases, plastic and wood pallets.

It was estimated the company avoided costs of £7,656 by not registering, and £5,756 by not purchasing the correct amount of Packaging Recovery Notes to cover its recycling obligation from 2000-2008.

Carol Getting, investigating officer for the Environment Agency, said: “It is disappointing that although the regulations have been in force for over a decade, the requirements are still widely misunderstood.

“The Packaging Regulations generate more than £80m of investment into the recycling industry annually and have driven a significant reduction in packaging waste being disposed in landfill.”

Magistrates gave credit for the company’s early guilty plea and co-operation with the Environment Agency throughout its investigation.

Under the Producer Responsibility Obligations (Packaging Waste) Regulations, companies with a turnover of more than £2m that use more than 50 tonnes of packaging are required to register with the Environment Agency or registered compliance scheme.

Scholler declined to comment when contacted by Packaging News. Nestlé did not respond to enquiries this morning.