UK Confirms Deposit Return Scheme with Cash Refunds

UK Confirms Deposit Return Scheme with Cash Refunds

by  
AnhNguyen  
- February 5, 2025

The UK Government has confirmed the launch of its Deposit Return Scheme (DRS) in October 2027, aiming to improve recycling rates and reduce waste from the 30 billion single-use drink containers sold annually. The scheme aligns with the country’s carbon neutral strategy by incentivizing consumers to return plastic and metal drink containers (ranging from 150ml to three liters) in exchange for cash refunds. This initiative is expected to significantly reduce litter, protect marine ecosystems, and promote a circular economy. 

Circular Economy Minister Mary Creagh highlighted the environmental and economic benefits of the initiative, stating that turning waste into value will support clean growth, strengthen supply chains, and create ESG-driven green jobs. The DRS is projected to generate 21,000 new jobs and attract £10 billion in green investments over the next decade, reinforcing the UK’s commitment to sustainability. 

Deposit return schemes have already been successfully implemented in over 50 countries, with Europe reporting an average 90% return rate. Germany leads the way with an impressive 98% return rate, demonstrating the system’s effectiveness. Environmental groups, including the Marine Conservation Society, have praised the initiative, emphasizing its potential to reduce beach pollution and advance a circular economy. 

However, the decision to exclude glass containers from the scheme has sparked controversy. While the UK Government aligns with previous policies for England and Northern Ireland, Scotland and Wales have proposed including glass in their DRS plans. Environmental organizations argue that a more comprehensive approach would maximize sustainability efforts. 

Industry leaders and retailers have welcomed the initiative but acknowledge the challenges of implementation. Coca-Cola Euro pacific Partners and the Association of Convenience Stores stressed the importance of industry collaboration to ensure a smooth rollout. 

With its focus on sustainability, job creation, and waste reduction, the UK’s DRS marks a major step toward achieving its ESG objectives and long-term carbon neutral strategy. 

 

Sources: 

https://esgnews.com/uk-government-confirms-launch-of-deposit-return-scheme-offering-cash-refunds-for-plastic-and-metal-containers/ 

https://www.gov.uk/government/news/government-to-clean-up-communities-with-deposit-return-scheme-for-plastic-bottles-and-cans 

https://www.edie.net/government-confirms-deposit-return-scheme-will-launch-in-october-2027/ 

https://www.zerocarbonacademy.com/posts/uk-government-confirms-deposit-return-scheme-to-launch-in-october-2027 

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