MPs Approve Deposit Return Scheme Legislation
Last week, 352 MPs voted in favor of the Deposit Return Scheme (DRS) legislation, despite calls from supermarket executives for a delay.
Under the new law, supermarkets, grocery stores, convenience stores, and newsagents selling containers covered by the scheme must provide a return point for drink containers, unless exempt. These return points can be either manual or automated using reverse vending machines.
Businesses selling drinks for immediate consumption on their premises, such as cafes, restaurants, and pubs, have the option to not charge the deposit at the point of sale.
With the legislation now in effect in England and Northern Ireland, the Deposit Management Organisation (DMO), a not-for-profit, industry-led body, will be appointed to oversee the scheme’s administration and daily operations.
Starting from 1 October 2027, customers will pay a refundable deposit on certain single-use drink containers. This deposit will apply to containers made mainly from aluminium, steel, or PET plastic, with capacities between 150 millilitres and 3 litres, and intended for single or short-term use. Containers made from high-density polyethylene (HDPE), such as milk bottles, and those not intended for single use, are excluded from the scheme. Additionally, containers for liquid medicines, flavour enhancers, or sweeteners are not included.
Circular Economy Minister Mary Creagh commented on the legislation, stating, “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 added, “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
In Scotland, similar responsibilities will apply, but the Scottish Government plans to introduce separate legislation and guidance. Wales withdrew from the development of an aligned DRS across the UK last year 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, all participants in the drinks supply chain must charge a deposit to their buyers when selling filled drink containers included in the scheme. This includes drink producers, importers, wholesalers, and retailers. Producers who manufacture in-scope drinks, import drinks to the UK, or fill and seal drink containers to order will also have responsibilities.
From 1 October 2027, producers must:
- Register with the DMO, with producer fees based on the number of containers placed on the market.
- Apply the deposit to all containers included in the scheme.
- Pay the collected deposits to the DMO when containers are sold to the next business in the supply chain.
- Comply with scheme labelling requirements.
- Report the number of drinks placed on the market.

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