Scottish Deposit Return Scheme — How will it affect you?

From August this year, shoppers pay an extra 20p when purchasing drinks in a can or bottle, with this deposit then returned to them when they bring back the empty container for recycling. 

Every individual drinks can, glass or plastic bottle is covered by the scheme, and recycling points will be set up across the country to cope with the volume of waste.

Milk cartons and Tetrapak containers – think juice boxes – are not covered by the scheme.  

So no more ‘chuck it in the blue bin’?  

No. If you want the 20p back, you will have to separate those items and return them to a recycling point.

Circularity Scotland, the organisation set up by the Scottish Government to administer the scheme, has promised more than 17,000 of these will be in place by August.  These will be located wherever drinks which come in recyclable containers covered by the DRS are sold - like supermarkets - and at community focal points.

How will I get the deposit back?  

When an item is returned, the deposit will be refunded in the form of cash or vouchers either over-the-counter or from a ‘reverse vending machine’. There will also be an option to donate the 20p to charity.  

READ MORE: Concerns deposit return scheme will create unlawful UK trade barrier

How much will this cost me? Just 20p? 

It’s 20p per item, so shoppers will see a significant increase on multipack drinks. For example, a 12-pack of cola, selling for £12.49, will now cost £14.89 - but you will get £2.40 back if you return the empty cans to be recycled.

Similarly, a four-pack of craft beer currently retailing at £6 will go up to £6.80 - with 80p refundable.   

Basically, for every can or bottle in the multipack, add 20p. 

Each bottle will come with a 20p surcharge in August

I get my shopping delivered — will the driver take away my empties?  

No. While there were plans for a takeback service, this will not be in place until 2025 at the earliest.

Drinks bought online must be recycled at a collection point like everything else.  

What about bars and clubs? 

Drinks sold in hospitality venues which are intended to be consumed onsite are exempt, in theory. But the venue still has to pay a 20p surcharge per item to wholesalers, which they get back when the empties are recycled.

It is being left up to the hospitality sector to decide whether to pass this onto the consumer, who will have no way of recouping it as venues will not act as collection points.   

What will the effect be on other recycling services?  

As a knock-on effect, it will no longer be as economical for councils to collect glass once bottles are removed.

Falkirk Council have already announced they will end glass recycling collection. Other local authorities are monitoring the situation.

Zero Waste Scotland, who are overseeing the plan, have urged councils not to ditch recycling services until the impact of the DRS is clear.   

 The idea is to cut down on waste 

What’s all the fuss been about?  

The DRS has not been without controversy. Businesses have warned of increased costs installing reverse vending machines to take empty bottles, while smaller firms say they will not have storage space.

Producers could have to have different labels and barcodes for products sold in Scotland and those sold in the rest of the UK – where a separate scheme is not due to come in until 2025. 

Last November, hundreds of leading figures from businesses across the food, drink and hospitality sector sent an open letter to Circular Economy Minister Lorna Slater calling for the initiative to be paused so it can be revised. 

The Scottish Wholesale Association said they believed between 20 and 40 per cent of beverage products currently available in Scotland will disappear when the scheme starts on August 16. 

This week, Chris Jones, managing director of Manchester-based Paragon Brands, said there is a “multitude of costs” arising from the deposit return scheme.  

Mr Jones, said: “I am part of a wider drinks forum group of approximately 300 smaller producers and it is fair to say there is a huge number of smaller producers who have simply taken the option to stop selling in Scotland. 

“The complications and the cost and the complexity involved in setting yourself up for this scheme just mean that the commercial returns are not there.” 

But what have politicians said?  

Lorna Slater said it was “all systems go” for the initiative. She said only a small number of firms had concerns.  

Ms Slater said: “Our scheme is very similar to successful schemes around the world that do increase recycling but also reduce litter on our streets. 

“We’ve got to do something about it and the deposit return scheme is our answer to that.” 

READ MORE: SNP MSP calls for deposit return scheme to be paused

She said she was “really proud” that Scotland would be the first part of the UK to have a deposit return scheme in place. 

"This is a really big scheme," she said. "This involves big retailers. It involves small grocery stores, it involves big producers, it involves small producers. 

"This is a massive scheme. As I've said, we've been working systematically through the issues to make sure we can deliver it, giving industry extra time, reducing the cost to producers, working through the issues on the VAT. 

"We're just systematically working through this. There are a relatively small number of small producers who still have some concerns and we're working with those so that they can get signed up within the deadline."