UK Deposit Management Organisation heads up scheme for 2027 launch
THE UK Government has announced UK Deposit Management Organisation Ltd (UK DMO) as the new operator for the UK deposit return scheme (DRS).
The appointment was made by the UK Government and the Department of Agriculture, Environment and Rural Affairs (DAERA). Scottish ministers will also decide if UK DMO should be designated as the DRS administrator for the country.
UK DMO is a business-led, not-for-profit organisation created to deliver one of the most significant environmental infrastructure programmes in a generation across England, Northern Ireland and Scotland.
The firm is set to handle returns for single-use plastic bottles as well as metal drinks containers for the three countries. Wales decided to withdraw from the UK-wide scheme to include glass bottle returns as part of its scheme.
According to a report from The Countryside Charity, introducing DRS to the UK is expected to create up to 4,000 jobs and will bring significant investments in infrastructure required to deliver the scheme including storage, logistics and reprocessing.
The UK Government has now tasked UK DMO to deliver DRS by the go-live date in October 2027 and, from that date, consumers who purchase drinks containers made from PET plastic, steel and aluminium between 150ml and three litres will need to pay a small deposit which they will then get back in full when they return the empty container for recycling.
UK DMO says it will now begin engaging with partners including the three governments, businesses including drinks producers, retailers, consumer and environmental groups to help design and operate a scheme which works for everyone.
Interested parties are encouraged to visit the UK DMO website to register to receive updates.
UK DMO is governed by a board that brings together voices from across the drinks and retail sector across all three nations, with all its members nominated by trade associations representing large and small producers, major supermarket chains and small convenience stores.
The current directors of the DMO board and their respective trades include:
Name Position Nominating trade association Company Julian Hunt Soft Drinks Producer British Soft Drinks Association (BSDA) Coca-Cola Europacific Partners James Smith Water Producer Natural Source Waters Assoication (NSWA) Shepley Spring Boudewijn Haarsma Alcoholic Drinks Producer British Beer and Pub Association (BBPA) Heineken Jonathan Kemp Small Producer BSDA, NSWA, BBPA Radnor Hills Robert Beaumont Large Producer Retailer British Retail Consortium (BRC) Lidl David Beardmore Large Producer Retailer BRC Tesco Rebecca Oliver-Mooney Small Store Operator Association of Convenience Stores, National Federation of Retail Newsagents, Scottish Grocers’ Federation (SGF) Co-op Richard Booth Wholesaler Federation of Wholesale Distributors, Scottish Wholesale Association Formerly of Bestway
In a joint statement, the UK DMO Board said: “DRS is an opportunity to deliver a transformational step forward in the circular economy in the UK and the appointment of the DMO is a major milestone in that journey.
“We don’t underestimate the scale of the challenge, but our aim is simple – to build a system that’s fair, efficient and easy to use. Our work is already underway, and we’ll be working closely with governments, businesses of all sizes, environmental groups and consumer bodies to move forward as quickly as possible.”
James Lowman, chief executive at the Association of Convenience Stores, said: “This is a major step towards the delivery of a DRS for the UK. For the scheme to deliver a step change to recycling rates, local shops will need to play an integral part, offering a convenient network of return points both for local residents and people consuming drinks on the go.
“We are looking forward to working with the newly-formed DMO to ensure that the scheme is operationally viable and attractive for retailers to take part in.
“With less than two and a half years before launch, it is vital that retailers can make informed choices about how to take part in the scheme, and we are committed to providing the information and advice they need.”
Pete Cheema, chief executive at the SGF, said: “The SGF understands how important DRS will be for our members and for promoting sustainability across Scotland and the UK.
“This is why we worked closely with the Scottish Government and stakeholders throughout the development of the Scottish DRS.
“Our engagement with DEFRA and the Advisory Council to establish the DMO has been positive, and we look forward to working closely with the new administration team in the coming months and years.
“Now that the DMO is in place, it provides an important opportunity for our members to address an concerns they have as early as possible and help build confidence in the scheme, making sure retailers have all the information they need about the options available to them.
“The SGF will also continue to meet with the DRS team in the Scottish Government, and our colleagues across the Scottish sector, to support the delivery of a fully fit for purpose scheme that works for all parts of the supply chain.”
