What Could DRS Mean for UK Waste Management Infrastructure?

Every year, approximately 6.5 billion single-use plastic drinks bottles and cans go to waste instead of being recycled, with more than 40% littered on streets or in the countryside.

From 1 October 2027, the UK will have its own Deposit Return Scheme (DRS) for single-use drink containers.

Consumers will pay a deposit for certain beverage products, which will be refunded when the packaging is returned to a designated return point.

This change means that the government, companies, consumers and waste management infrastructure will have to work together to fuel the transition to a more circular economy.

In general, a DRS encourages consumers to recycle packaging by offering a financial incentive for consumers to return the products.

Many systems involve reverse logistics solutions – such as reverse vending machines – to collect the packaging, allowing waste management companies to collect and sort it at recycling facilities.

What is the UK’s plan?

The UK’s DRS was first promised in the Government’s Resources and Waste Strategy, announced in 2018.

Across England and Northern Ireland, suppliers will face new responsibilities, with a similar legislation coming into place in Scotland, issued by the Scottish Government.

The deposit will apply to all drinks containers that are made from aluminium, steel or polyethylene terephthalate (PET) plastic and have a capacity of between 150 millilitres and three litres.

All suppliers in the drinks supply chain must charge the deposit when they sell eligible filled drinks containers.

This applies to all drinks producers, importers, wholesalers and retailers across the country.

All retailers selling products included in the scheme must pay the deposit to the producers or wholesalers supplying the drinks and charge the deposit to consumers, according to the Government.

It says that supermarkets, convenience stores and newsagents included in the scheme must host a return point for the containers, which can be manual or automated using a reverse vending machine.

This new system will work alongside the UK’s existing waste management infrastructure, rather than a replacement.

Dr Adam Read MBE, Chief Sustainability Officer at SUEZ UK, says: “It’s quite a similar set of activities to the one we’re already doing for curbside sorted material, where we’re dealing with segregated material and giving it a quality check.

“You might do it at a site next door to the one you've got, you might run it through some sites that are used to dealing with clean material, but ultimately, there's an awful lot more data points that we're going to have to register. 

“That's going to be the big change for the waste and resource industry – everything in a DRS is going to have to be scanned and accountable for, because otherwise the money flows won't be there.”

Exchange for Change

The UK Deposit Management Organisation (UK DMO), trading under the name Exchange for Change, is the not-for-profit body responsible for delivering the UK’s DRS.

Exchange for Change’s role is to create the infrastructure needed in the UK to successfully run the scheme, including how packaging is collected, sorted and processed, as well as the financial aspects of the scheme.

In April 2026, the organisation confirmed that the deposit value will be £0.20 (US$0.27).

This rate was decided following a period of consultation and analysis of existing DRS across Europe and worldwide.

Exchange for Change says that the deposit will provide a sufficient behavioural incentive for consumers to return the containers, while being proportionate to the value of the product.

It conducted behavioural market research which found that deposit levels below £0.15 (US$0.20) would not provide a sufficient incentive, while rates above £0.30 (US$0.40) could provide too high of a cost to the consumer at the point of purchase.

Criticisms of the scheme

DRS are already in place in more than 50 countries and territories around the world, with many achieving a return rate of approximately 90%.

Adam says that the introduction of DRS could bring benefits to the UK’s waste management infrastructure.

“The argument around DRS has always been twofold,” he says. “One is litter reduction, because it's going to target things that we see in hedges, or in watercourses.

“I think the second argument being made is that the quality of the recycling is much higher, in principle, than in a mixed recycling bin. 

“In principle, if we're collecting these materials at reverse vending machines, they're going to be kept separate material streams to start with. They don't cross-contaminate, they shouldn't get wet.”

Adam argues that these benefits might be over-exaggerated in some contexts: “Commentators would probably argue that the analysis that’s been done around DRS has been loaded in favour of DRS. For example, most of the 20,000 responses to the consultation on DRS originally were from campaign groups and their members on an anti-litter message. 

“I'm not arguing that a DRS wouldn't stop some of that litter. But I think the evidence was perhaps stretched to provide a very strong public feeling that there was a lot of cost on public amenity and wellbeing caused by litter that would be solved by a deposit return scheme.

“We're asking most of the public to undo behaviours that have been learnt over 20 years. 

“Until we roll it out, we really won't know whether firstly, the 20p is enough incentive, and second whether we've overestimated just how willing the British public are to make more effort to recycle.”

What can the UK learn from Ireland’s DRS?

Ireland’s DRS was launched in 2024, with the deposit ranging from €0.15-€0.25 (US$0.17-US$0.29), depending on the size of the container.

Since its launch, the scheme has successfully collected more than two billion drinks containers across the Republic of Ireland.

Many companies are learning from Ireland’s implementation and adjusting policy and practices ahead of the UK’s DRS.

One of these companies is Suntory Beverage and Food GB&I (SBF GB&I), which produces popular British drinks including Lucozade and Ribena.

SBF GB&I produced a whitepaper following the launch of Ireland’s DRS examining consumer behaviours and exploring how businesses can thrive under the scheme.

Fraser McIntosh, Head of External Affairs and Sustainability at SBF GB&I, says: “The early creation of an industry-wide working group was critical to the implementation of the Irish scheme. This enabled the Irish Government to appoint a capable scheme administrator in a timely manner, who was then accountable for delivering the scheme and key aspects of it, including the return handling fee and management of its contracts with suppliers.

“With Exchange for Change now appointed as the UK scheme’s Deposit Management Organisation (DMO), we are urging the new Welsh Government to appoint Exchange for Change as their DMO urgently so we can all work closely together. Experience from Ireland also demonstrates DRS regulations must be detailed and prescriptive, so there is no ambiguity that can create confusion and delay.”

Fraser acknowledges the impact that other countries’ DRS can have on the UK, as well as the work that needs to be done in order for the scheme to be successful.

“DRS has the potential to be one of the most significant shifts in UK packaging policy in a generation,” he says, “but success will depend on clarity, coordination and collaboration across all nations of the UK.

“DRS will stimulate a circular economy for soft drinks containers, ensuring precious rPET is turned back into bottles and aluminium back into cans so that food-grade quality packaging can be used again and again. 

“This circularity mindset will ultimately help the whole category to reduce litter and its CO₂ emissions. For it to be successful in these aims, interoperability between devolved nations is key.”