UK Government Confirms Launch of Deposit Return Scheme, Offering Cash Refunds for Plastic and Metal Containers

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- Increased Recycling: The Deposit Return Scheme (DRS) incentivizes consumers to recycle single-use drink containers, targeting higher recycling rates and reduced litter.
- Economic Growth: The scheme is expected to create 21,000 new jobs and drive £10bn in investment over the next decade.
- Environmental Gains: DRS aims to tackle waste from the 30 billion single-use drink containers sold annually, protecting marine and wildlife ecosystems.
The UK Government has officially announced the launch of a Deposit Return Scheme (DRS) in October 2027. The long-anticipated initiative aims to boost recycling rates by offering financial incentives for consumers to return empty plastic and metal drink containers ranging from 150ml to three liters.
Circular Economy Minister Mary Creagh emphasized the scheme’s environmental and economic potential, stating:
“This Government will clean up Britain and end the throwaway society. Turning trash into cash also delivers on our Plan for Change by kickstarting clean growth, ensuring economic stability, more resilient supply chains, and new green jobs.”

The DRS will exclude glass containers, aligning with the previous Conservative Government’s approach for England and Northern Ireland. In contrast, Scotland and Wales have proposed including glass in their DRS plans. The omission of glass has drawn criticism from environmental groups.
Proven Global Success
Deposit return schemes operate in over 50 countries worldwide, with Europe reporting an average 90% return rate. Germany leads with a 98% return rate, demonstrating the system’s efficacy. According to Reloop, a global eNGO, these schemes significantly reduce waste and increase recycling efforts.
Sandy Luk, Chief Executive of the Marine Conservation Society, remarked:
“Deposit return schemes will not only boost recycling and move us towards a circular economy where nothing is thrown away but also significantly reduce beach pollution.”

Industry and Retail Responses
The Deposit Management Organisation, a not-for-profit, industry-led body, will oversee the scheme starting April 2024. Industry leaders have expressed support for the initiative while acknowledging the challenges of implementation.
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Stephen Moorhouse, VP and General Manager of Coca-Cola Europacific Partners GB Business Unit, stated:
“Delivering to the timelines will be challenging but achievable. Now is the time for industry to roll up its sleeves to create a well-designed system that works for businesses, shoppers, and the environment.”

James Lowman, CEO of the Association of Convenience Stores, added:
“We are pleased to have certainty on the DRS regulations so local shops can start to prepare for October 2027. Now the real work begins to make the deposit return scheme a success through cross-industry partnership.”

Environmental and Financial Benefits
The DRS is expected to save millions in clean-up costs while tackling the estimated 0.5 billion single-use drink containers that currently go to waste annually in the UK. The Government projects that the scheme will support 21,000 new jobs and foster £10bn in green investments over the next ten years.
Allison Ogden-Newton OBE, Chief Executive of Keep Britain Tidy, highlighted its impact:
“This legislation will end littering of millions of drinks containers daily, save the taxpayer millions in clean-up costs, and give recycling a real shot in the arm.”

As October 2027 approaches, the DRS is positioned to transform waste management across the UK, delivering economic, environmental, and societal gains.
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