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The UK's supermarkets must take "urgent action" to reduce excessive packaging if key recycling targets are to be met, a report has warned.

Up to 40 per cent of the packaging in an average household shopping basket cannot be recycled, according to the study published by the Local Government Association (LGA).

The organisation says that public attempts to boost recycling levels are being undermined by the failure of the country's supermarkets to reduce packaging on their products.

As part of an investigation into the issue the British Market Research Bureau (BMRB) was asked by the LGA to purchase 29 common food items from eight retailers, including six large supermarket chains, a local high street store and a market.

The study found that Lidl products featured the most packaging, with the contents of an average basket of goods purchased from the retailer using packaging which weighed up to a total of 799.5 grams.

Meanwhile Marks & Spencer was found to have the lowest level of packaging that could be recycled, with just 60 per cent of the packaging on its goods being environmentally friendly. The company was unavailable to comment on the claim.

Asda was the best performing supermarket overall according to the study, which also examined the amount of packaging used by Morrisons, Sainsbury's and Tesco. The retailer, part of the Wal-Mart group, was found to have packaging weighing 714 grams in an average basket of goods - 70 per cent of which could be recycled.

However the local market proved that it was the greenest retailer in terms of packaging. A basket of goods bought from market traders featured packaging weighing 710.5 grams, 79 per cent of which was recyclable.

Commenting on the results of the study Paul Bettison, chairman of the LGA's environment board, said that supermarkets needed to take more action to reduce packaging levels.

"People are working hard to increase their recycling rates, but their efforts are being hamstrung by needlessly over-packaged products on sale in supermarkets," he explained.

Mr Bettison acknowledged that there were examples of retailers making it easier for their customers to recycle, including through the use of paper bags, but he added: "We have to question the necessity and desirability of shrink-wrapping vegetables like peppers and broccoli."