Metal recycling in the UK: how it works, the law and what scrap is worth
Metal recycling is the collection, sorting and melting of scrap metal so that it can be made into new metal. Metal can be recycled again and again without losing quality, and 78.7% of UK metal packaging was recycled in 2024. Unlike most waste, scrap metal has a resale value, so businesses are usually paid for it.
Metal recycling: key facts
| UK metal packaging recycled | 78.7% in 2024, according to Defra |
|---|---|
| Steel packaging recycled | 88.5% in 2025, on provisional figures |
| Energy saved | Recycling aluminium uses about 95% less energy than making it from ore |
| Payment | Dealers in England and Wales cannot pay cash for scrap metal |
| How it is sold | By weight. Steel per tonne, other metals per kilogram or per tonne |
Ferrous and non ferrous metal
Scrap metal is split into two groups, and the split decides the price.
| Ferrous | Non ferrous | |
|---|---|---|
| Contains iron | Yes | No |
| Sticks to a magnet | Yes | No |
| Examples | Steel, cast iron | Copper, brass, aluminium, lead |
| Value | Lower, sold by the tonne | Higher, often sold by the kilogram |
Stainless steel is the exception. It contains iron, but most grades are not magnetic and it is priced on its own.
How is metal recycled?
- Collection. Scrap arrives at a yard from factories, building sites, garages, councils and households.
- Sorting. Magnets pull out steel and iron. Other machines and handheld analysers identify each remaining metal and its grade.
- Processing. Large pieces are cut with shears. Lighter scrap is shredded or pressed into bales.
- Melting. Each metal is melted in its own furnace. Scrap steel is melted in an electric arc furnace.
- Purifying. Impurities are removed so that the metal meets the grade a manufacturer needs.
- Casting. The metal is cast into bars, sheets or coils and sold to make new products.
What is scrap metal worth?
In July 2026 the average UK export value was £7,728 a tonne for copper scrap, £6,409 for brass, £1,930 for aluminium and £287 for steel. A dealer will offer less, depending on the grade and the quantity.
Clean, sorted metal earns more than mixed loads. Copper wire with the insulation left on, or aluminium with steel screws attached, drops to a lower grade. See the current scrap metal prices, or read our guide on how to sell scrap metal.
The law on selling scrap metal
The Scrap Metal Dealers Act 2013 covers England and Wales. Every dealer and collector needs a licence from the local council. A dealer must check your name and address, keep a record of each sale and pay by bank transfer or cheque. Cash payments are banned. Scotland banned cash for scrap in 2016.
A business that produces scrap metal must use a registered waste carrier and keep a waste transfer note for each load for two years. Batteries and electrical equipment have their own rules and should be kept apart from other scrap.
Metal recycling near me
Households can take scrap metal to a council recycling centre free of charge. Businesses should use a licensed scrap metal dealer, who will usually collect larger loads and pay by weight.
Frequently asked questions
Which metals can be recycled?
Almost all of them. Steel, iron, aluminium, copper, brass, lead, zinc and stainless steel are all recycled in the UK, and none of them loses quality when it is melted down.
Can you get cash for scrap metal?
No. Scrap metal dealers in England and Wales cannot pay cash. The ban began in December 2012 and was kept in the Scrap Metal Dealers Act 2013. Dealers pay by bank transfer or cheque and must check your identity first.
How do I tell what metal I have?
Start with a magnet. If it sticks, the metal is steel or iron. If it does not, the metal is non ferrous and worth more. A dealer will test it and confirm the grade.
Do I need a licence to sell scrap metal?
No, not to sell your own scrap. The dealer who buys it must hold a licence. A business that moves its own waste regularly must register as a waste carrier.
How much energy does metal recycling save?
Recycling aluminium uses about 95% less energy than making it from ore. The World Steel Association says each tonne of steel scrap used avoids about 1.5 tonnes of carbon dioxide.