UK Deposit Return Scheme to be introduced in October 2027

The UK Government has announced an update on the Deposit Return Scheme for drinks containers (DRS), setting out next steps.

In line with this announcement, they have also published a UK wide – England, Northern Ireland, Scotland and Wales – policy statement confirming the alignment across the UK on the following policy areas – joint registration, reporting, labelling, reciprocal returns, deposit level, minimum container size and low-volume products.

A DRS works by charging anyone who buys a drink a small deposit for the container it comes in. They get this money back when they return the container to a collection point to be recycled. The deposit provides a financial incentive for consumers to return drinks containers for recycling.

The size of containers in scope across the UK are 150ml and 3L, anything outside this scope will fall under Extended Producer Responsibility (EPR) for packaging.

Drink containers made of PET plastic, aluminium and steel will be excluded from disposal cost fees and labelling obligations under packaging EPR.

The exact level of the deposit is to be confirmed but is to be aligned across the UK once decided. There is to be a consistent approach to reporting and labelling.

Reciprocal takeback has been agreed – return point operators and deposit management organisations will be required to accept returns of DRS drinks containers, which have been purchased anywhere in the UK.

However, with the aim of avoiding complexity and additional costs for return point operators, this will not require them to accept containers that are out of scope in the administration in which they trade.

The government states that they expect to boost recycling levels for in-scope containers to over 90% with the scheme in the third year of operation.

The joint statement outlines the UK Government, DAERA in Northern Ireland, the Scottish Government and the Welsh Government have agreed this policy statement to ensure maximum alignment and interoperability given the devolved nature of the UK.

Wales intends to include glass, whereas in England, Northern Ireland and Scotland glass is to be excluded. The UK government has published a statement on glass drinks containers, to which the Welsh government has issued a response. 

The government says, ‘We will continue our conversations with the Welsh Government, but if their position does not change, we will reiterate the duty to protect the UK internal market and facilitate free trade within the UK.’

A webinar on Tuesday 30 April 2024 from 11.00am-12.30pm will share further details about the DRS policy. To join the session, register here.