Under the landfill allowances trading scheme (LATS), allowances have been determined for waste disposal authorities (WDAs) each year from 2004-05 to 2019-20 to provide local authorities with greater certainty for long-term planning. The total number of allowances is limited to ensure that England can meet its share of the European Landfill Directive targets for biodegradable municipal waste. It is not possible to increase the allowances available to individual WDAs without breaching the national targets or reducing the allowances available to other local authorities.
LATS provides flexibility to help local authorities cope with increasing populations through trading, banking and borrowing of allowances. This is intended to give all WDAs every opportunity to avoid becoming liable to a financial penalty for failure to comply with LATS obligations.