DRS deposit fee confirmed ahead of 2027 launch

Exchange for Change, the organisation tasked with delivering the UK Deposit Return Scheme (DRS) across England, Scotland and Northern Ireland, has confirmed that a flat 20p deposit will be applied on all in-scope containers when the new DRS scheme launches in October next year.

Under the DRS, consumers will pay a small upfront deposit when buying drinks, they will then receive a full refund when returning empty containers for recycling. The scheme will cover single-use PET plastic, steel and aluminium drinks containers between 150ml and 3 litres. Retailers will be expected to play a central role in enabling returns, through methods including in-store return points and reverse vending machines (RVMs).

Russell Davies, Exchange for Change CEO has said: “The deposit value is a pivotal part of how the deposit return scheme will work in practice. That’s why we’ve engaged widely with industry, undertaken extensive market research and in-depth analysis on how schemes work in other countries. This work has identified that a flat 20p deposit is the most proportionate and sustainable amount for the UK. Confirming this now, with just under 18 months to go until the DRS is live, will help producers and retailers with their planning and preparation for the scheme, and we will continue to support them closely throughout this process.”[i]

Last January The UK Government confirmed that from 1^st October 2027 consumers in England and Northern Ireland will have to pay a deposit when purchasing drinks in plastic or metal containers.

DRS schemes are already used in more than 50 countries worldwide to boost recycling rates, with the average return rate for European countries currently at 90%, according to NGO Reloop. Market leader Germany has an impressive return rate of 98%[ii].

Highlighting the problem, the UK Government estimates 6.5 billion single-use containers go to waste in England, Scotland and Northern Ireland annually[iii], and research by the Marine Conservation Society showed 97 percent of surveyed UK beaches were polluted with drinks-related items in 2023.

References

[i] Exchange for Change confirms flat 20p deposit value for DRS | Exchange for Change

[ii] reloopplatform.org/wp-content/uploads/2022/11/RELOOP_Global_Deposit_Book_11I2022_P1.pdf

[iii] What is the bottle deposit return scheme? When will it come into effect in England and Northern Ireland? | The Independent

‍