The Deposit Return Scheme legislation for England and Northern Ireland has now come into force, enabling the appointment of the Deposit Management Organisation in April.
Last week, 352 MPs voted to approve Deposit Return Scheme (DRS) legislation, despite supermarket bosses urging the Environment Secretary to delay the scheme’s launch.
Supermarkets, grocery stores, convenience stores and newsagents that sell containers in the scope of the scheme must host a return point for drinks containers unless they qualify for an exemption.
The return point can be manual or automated using a reverse vending machine.
Businesses that sell drinks for immediate consumption on their premises, such as cafes, restaurants, and pubs, can choose to not charge the deposit at the point of sale.
Now the legislation has come into force in England and Northern Ireland, the Deposit Management Organisation (DMO), a not-for-profit, industry-led body responsible for the administration and day-to-day running of the scheme, can be appointed.
Once the DRS begins on 1 October 2027, customers will pay a refundable deposit for certain single-use drink containers they buy.
The deposit will apply to all single-use drink containers that:
- are made wholly or mainly from aluminium or steel, or polyethylene terephthalate (PET) plastic,
- have a capacity of between 150 millilitres and 3 litres,
- and are likely to be used only once or for a short period of time.
The deposit will not apply to containers if they are not single-use or made from high-density polyethylene (HDPE) – the material used to make milk bottles.
The scheme does not include containers used for liquid medicines, such as cough syrup, or flavour enhancers or sweeteners to add to drinks, such as syrups or hot sauce.
Reacting to the legislation, Circular Economy Minister Mary Creagh said: “This government will clean up Britain and end the throwaway society.
“This is a vital step as we stop the avalanche of rubbish that is filling up our streets, rivers and oceans and protect our treasured wildlife.
“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.”
Northern Ireland’s Agriculture, Environment and Rural Affairs Minister Andrew Muir commented: “I have ambitious goals to protect our climate, drive green growth and reduce unnecessary waste. The creation of a DRS plays a key part in delivering those goals.
“The introduction of the new parliamentary regulations is a significant step in that process and signals our commitment to move forward together to make those ambitions a reality.”
New responsibilities for producers and suppliers
Businesses that produce or sell drinks in England and Northern Ireland will have new responsibilities.
Similar responsibilities will apply in Scotland but the Scottish Government are planning to introduce separate legislation and provide separate guidance.
Last year, Wales withdrew from the development of an aligned DRS across the UK due to time constraints that prevented the UK Government from considering a request for an exclusion from the Internal Market Act (UKIM Act).
In England and Northern Ireland, everyone in the drinks supply chain must charge a deposit to their buyers when they sell filled drinks containers included in the scheme – this includes drink producers, importers, wholesalers and retailers.
Producers that manufacture in-scope drinks (typically the brand owner), import drinks to the UK, or fill and seal drink containers to order will also have responsibilities.
From 1 October 2027, producers must:
- Be registered with the DMO – your producer fee will be based on the number of containers you place on the market,
- Apply the deposit to all containers included in the scheme,
- Pay the deposits collected to the deposit management organisation when containers are sold to the next business in the supply chain,
- Comply with scheme labelling requirements,
- And report the number of drinks placed on the market.