The first minister has said Scotland’s deposit return scheme (DRS) is at risk and set a deadline of today for the UK government to withdraw its demand that Scotland excludes glass from the scheme.
Humza Yousaf has written to Prime Minister Rishi Sunak asking him to grant Scotland’s DRS an exemption from the UK Internal Market Act without requiring glass to be excluded from the scheme.
Last week (29 May), Yousaf accused the UK government of trying to “scupper” Scotland’s DRS by refusing to grant an exemption for glass.
Speaking to the BBC, the first minister said his deadline was “effectively” an ultimatum. “To be frank with you, we’ve heard, from the likes of Tennent’s – they’ve said excluding glass would put them, not just at a competitive disadvantage but it would put jobs and investment at risk.”
In a letter to the Secretary of State for Scotland Alister Jack, seen by the BBC but now widely shared, the company C&C Group, which is behind the Tennent’s Lager brand, said the first minister had “misrepresented” its views.
Reportedly, the C&C Group added it was “actively seeking and supports a UK-wide scheme introduced at the same time across the four UK nations”.
I struggle to see how the scheme can go ahead because I will not put Scottish businesses at a disadvantage.
“I’m not prepared to do that,” Yousaf told the reporter. “The Scottish government will not be prepared to do that and now that we’ve heard from those companies, I’m saying to the Prime Minister it’s very simple, you agree to include glass in the scheme, as per the Scottish Parliament’s regulations, or I’m afraid I struggle to see how the scheme can go ahead because I will not put Scottish businesses at a disadvantage.”
A spokesman for the deposit return scheme administrator Circularity Scotland has urged both governments to “urgently get round the table”.
In his letter to the Prime Minister, Yousaf said removing glass from the scheme would impact the environment, detrimentally affect businesses based in Scotland and threaten the viability of the scheme.
He wrote: “I urge you to revoke the conditions set out in your letter and grant a full exclusion for Scotland’s DRS, to be implemented as per the regulations agreed by the Scottish Parliament in this area of devolved competence.
There is little doubt your government’s actions have put the future of DRS in grave danger.
“Without this, the Scottish government is not prepared to put Scottish businesses at a competitive disadvantage due to the last-minute demands the UK government has made. There is little doubt your government’s actions have put the future of DRS in grave danger not only in Scotland but also in the rest of the UK due to the damage to consumer and investor confidence.
“I would be grateful for a reply by close on Monday 5 June to enable my Cabinet to consider the matter and the Scottish Parliament to be updated thereafter.”