UK: Wales Withdraws from UK-Wide Deposit Return Scheme

The Welsh Government has confirmed it will not participate in a UK-wide deposit return scheme (DRS) for recycling drinks containers, citing challenges posed by post-Brexit devolution and trade rules. Instead, Wales will develop its own independent DRS, potentially leading to a fragmented approach across the UK.

Huw Irranca-Davies, Cabinet Secretary for Climate Change and Rural Affairs, announced the withdrawal, blaming complications arising from the United Kingdom Internal Market Act 2020. Introduced under Boris Johnson’s government, the Act restricts devolved powers over economic policies, making a unified DRS impractical. 

The Act has already impacted other devolved governments, including Scotland, where attempts to include glass containers in a DRS were blocked by the UK government. While England and Northern Ireland’s proposed schemes exclude glass, Wales may include it in its future plans, Irranca-Davies hinted.

Wales boasts a recycling rate exceeding 66%, the highest in the UK and the second highest globally. Irranca-Davies emphasized that Wales’ DRS must build on its successes, promoting reuse rather than merely maintaining recycling levels. 

“We are committed to bringing forward a DRS that delivers for Wales and supports our transition to a circular economy,” he said, highlighting plans for active engagement with industries to design a scheme that includes all drink containers, potentially including glass.

The decision has been met with mixed reactions. Jane Martin, CEO of City to Sea, criticized the disjointed approach, calling it “utter chaos” and urging policymakers to unify their efforts. “A DRS including glass, plastic, and aluminum enjoys public support, with 77% favoring an all-in system,” she said.

The hospitality industry, which had pushed for a seamless UK-wide scheme to simplify compliance, also expressed disappointment, warning of increased complexity and costs for businesses operating across devolved regions.

The Department for the Environment, Food and Rural Affairs (Defra) reiterated its commitment to a DRS for England, Scotland, and Northern Ireland, with a planned launch in October 2027. A spokesperson highlighted the scheme’s potential to create green jobs, attract investment, and promote a circular economy.

Wales’ withdrawal marks another setback for efforts to establish a unified recycling initiative in the UK, following Scotland’s earlier struggles with inclusion criteria. As Wales and Scotland both advocate for glass-inclusive schemes, pressure mounts on the UK government to reconcile these differences to prevent further fragmentation of recycling efforts.

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