BRC Respond to DEFRA Deposit Return Scheme Announcement

“The retail industry is committed to increasing rates of recycling throughout the UK. Whilst we believe an effectively designed deposit return scheme (DRS) could help to deliver this, in the current economic environment we believe they would be best met through including drinks containers in a well-implemented, effective Extended Producer Responsibility (EPR) Scheme.

“Retailers’ experience of establishing a Scottish DRS shows that implementation is immensely more expensive and complex than anticipated, which would make a 2025 launch incredibly challenging. We question whether this approach is truly sustainable, as the significant investment required by the scheme would create immediate and large costs for retailers, increasing inflationary pressures at a time when many households are already struggling.

“If the UK Government is to press ahead, it must ensure the scheme is aligned with the devolved nations, allowing efficiencies of scale to reduce the costs and complexity which will face consumers. They must also ensure the scheme is cost-neutral for retailers by committing to a fair retail handling fee.”