Ships calling at European ports will not have to pay a “ship recycling” licence fee from next year, the European Union (EU) has decided.

The idea was to introduce a licensing scheme for ships of all flags trading in Europe, with the funds raised being used to subsidise clean recycling.

The licence was viewed by politicians as an essential part of the EU ship recycling regulation (SRR), which will require European flag ships to be demolished at EU-approved yards from the end of 2018.