Retailers call for cups levy to be dropped

The Scottish Government should abandon plans for a new levy on disposable cups according to the Scottish Retail Consortium (SRC).  The SRC’s call come as retailers prepare for the implementation of costly UK-wide environmental schemes - including extended producer responsibility for packaging and the deposit return scheme for drinks bottles and cans – as well as a raft of devolved regulatory measures to do with in-store restrictions on the sale of foodstuffs and alcohol. Scotland’s retailers also potentially face £190 million of additional outlays as a result of the Chancellor’s decision to increase employers’ national insurance contributions.

In a response to the government’s consultation, which closes on the 14th of November, the SRC argues:

• The levy will change whether consumers buy drinks, not whether they choose reusable alternatives.
• The levy will impact on the least affluent consumers most heavily
• Many retailers and hospitality businesses will not be able to administer the levy, nor practically offer reusable alternatives
• There will be a discrete impact on food-to-go businesses already under significant pressure from weak sales and increasing costs
• The Government should instead focus on improving recycling infrastructure and collection alongside supporting the wide range of industry initiatives.
  
  

Commenting on the response, Ewan MacDonald-Russell, Deputy Head of the Scottish Retail Consortium, said:

“Scotland’s shops, cafes, and restaurants are already taking significant steps to reduce waste, increase reuse and recycling of cups, and help move to a more circular economy. A cups charge will do very little to help that, whilst hitting both businesses and consumers in the pocket.

“Adding a charge to drinks on the go is more likely to affect whether consumers buy the drink in the first place rather than encourage them to use a reusable cup. The idea consumers will treat cups the same way as shopping bags is implausible. Not least that many hospitality businesses cannot realistically offer reusable alternatives because they sell self-service drinks, deliver drinks, or don’t have the capacity to safely clean customers cups.  A far better option would be to work with industry on the range of initiatives, such as the National Cup Recycling Scheme, Borrow Cup, and the use of discounts and rewards to incentivise the use of a reusable cup over a single-use one; along with investing in recycling capacity and infrastructure.

“If the Government press forwards with these plans in the face of industry concerns, then we hope they will recognise the significant challenges for many, including smaller businesses, in turning this idea into practical implementable policy. Whilst we recognise Government wants to take action to improve recycling and reuse rates across Scotland, that can only be done with proportionate policymaking.  We don’t believe a new charge on cups passes that test.”

 

-ENDS-

Notes to Editors

The SRC’s response can be read in full here: https://brc.org.uk/media/nhllqhmp/src-response-to-the-sg-consultation-on-a-single-use-cups-charge.pdf