UK households will receive 20p for every empty single-use drinks bottle or can they return to dedicated collection points at supermarkets from October 1, 2027, under the new Deposit Return Scheme (DRS).
The scheme, delivered by Exchange for Change, will charge shoppers a flat 20p deposit when they buy drinks in plastic bottles or metal cans, which will be repaid when the empty containers are brought back to retailers such as Tesco, Asda, Morrisons and Sainsbury's, as well as grocery stores, convenience stores and newsagents that sell drinks. No receipt or proof of purchase is needed.
How the deposit scheme works
Travis Way, managing director at RVM experts EcoVend, part of Reconomy, said: "While much of the industry had anticipated a flat 20p deposit, its confirmation is a helpful step forward for businesses preparing for the UK's Deposit Return Scheme.
"A flat rate also brings practical benefits for businesses by simplifying implementation, reducing administrative complexity and supporting more consistent system design across retailers, producers and return operators."
Way added: "Having greater clarity at this stage allows retailers, producers and operators to plan with more confidence, particularly when it comes to infrastructure, cashflow and customer engagement. A simple, uniform deposit should also support consumer understanding and mirrors other well-established European schemes."
Rollout across the UK
The DRS will be introduced on October 1, 2027 in England, Northern Ireland and Scotland, while the Welsh Government is developing its own scheme for Wales which will work alongside the others. The 20p deposit applies to the UK scheme, and it is expected the same rate will apply in Wales to keep both schemes aligned, with the payment returned at the point containers are returned.
According to a briefing published by UK Parliament in January, all parts of the UK plan to start schemes on October 1, 2027. England, Northern Ireland and Scotland will include single-use drinks containers between 150 millilitres and 3 litres made from polyethylene terephthalate (PET) plastic, steel and aluminium, but not glass. The UK Government decided against including glass due to concerns about safety, storage, and recycling quality. Wales will include glass bottles in its scheme but initially without a deposit, and also plans to introduce a reuse scheme.
Impact on recycling and litter
The rollout aims to reduce litter and increase recycling rates, as UK consumers use around 14 billion plastic drinks bottles and nine billion cans annually. Research by charity Keep Britain Tidy found that small plastic bottles and non-alcoholic cans make up 43% of litter by volume, so the DRS is expected to reduce this and boost recycling. Similar schemes already operate in more than 50 countries worldwide, including Germany, Sweden and the Republic of Ireland.
According to the Department for Environment, Food & Rural Affairs (Defra), all retailers in England and Northern Ireland selling drinks included in the scheme must pay a deposit to producers or wholesalers when purchasing the drinks, and then charge the deposit to consumers at the point of sale. Retailers must pay the deposit back at the point of return, either by cash, voucher or card, at manual or automated return points using reverse vending machines.
Circular Economy Minister Mary Creagh told The Express last year: "This Government is committed to cleaning up our streets and ending our throwaway culture.
"Deposit return schemes are proven to reduce the littering of cans and plastic bottles and drive up recycling rates which have flatlined for 15 years. Our packaging reforms will create 25,000 jobs and lead to more than £10 billion investment in recycling during the next decade."
Retailers in urban areas with a retail space of less than 100m2 will be exempt from hosting a return point, although they can still apply to be a voluntary return point. Other organisations that sell drinks, including hospitality venues, food-to-go stores, schools, mobile caterers, businesses with vending machines, and gyms, sports or community centres, can also apply to host a voluntary return point.
Shehab, team leader at Defra, said last year: "Under this scheme, a redeemable deposit is placed on specific drinks containers that can be claimed when the item is returned to a collection point, such as a local supermarket.
"There's no need for a receipt or proof of purchase, so anyone can return their own drinks containers or ones that they find, as long as they're in good nick. This means we can all chip in to help clean up our communities – and get something for it.
"This simple change will reward people for doing the right thing and recycling their empty drinks containers. Together, we will turn the tide on plastic waste."
