Retail and supplier trade bodies have welcomed the appointment of UK Deposit Management Organisation Ltd (UK DMO) as the operator of the new Deposit Return Schemes for single-use plastic and metal drinks containers in England, Northern Ireland and Scotland. In Scotland, Scottish Ministers have also decided that UK DMO should be designated as the DRS scheme administrator, subject to the approval of the Scottish Parliament.
UK DMO will engage with partners including the three governments, retailers, drinks producers, consumer and environmental groups to design and operate a scheme which works for everyone. Producers, retailers and other interested parties are encouraged to visit the UK DMO website and register their interest in getting updates.
The group will be responsible for operating the scheme as an independent, private, not-for-profit body and will determine aspects of the scheme such as the deposit amount and retailer handling fee. UK DMO is governed by a Board that brings together voices from across the drinks and retail sector across all three nations, including small convenience stores and wholesalers. Recruitment is also underway for an independent Chair and non-executive directors.
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.”
The Deposit Return Scheme is due to go live in October 2027. From that date, when consumers buy drinks containers made from PET plastic, steel and aluminium between 150ml and 3 litres, they will pay a small deposit – which they will get back in full when they return the empty container for recycling.
Across Europe, DRS continues to make a significant contribution to circular economies and improved recycling outcomes, with the latest schemes going live in Romania (2023), Hungary (2024), Republic of Ireland (2024) and Austria (2025). In its first 12 months of operation, the scheme in the Republic of Ireland has collected almost 1 billion containers. The average return rate for European countries with a DRS is 90%, with Germany showing the best results at 98%.
Scottish Grocers’ Federation Chief Executive, Dr Pete Cheema OBE, said:
“SGF understands how important DRS will be for our members and for promoting sustainability across Scotland and the UK. That 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 any concerns they have as early as possible and help build confidence in the scheme. Making sure that retailers have all the information they need about the options available to them.
“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.”
Association of Convenience Stores Chief Executive, James Lowman said:
“This is a major step towards the delivery of a Deposit Return Scheme for the UK. For the scheme to deliver a step change in 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 Deposit Management Organisation 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.”
British Retail Consortium Director of Food and Sustainability, Andrew Opie, said:
“A well-designed Deposit Return Scheme (DRS), with retail at its heart, will be an important contribution to delivering a circular economy in the UK. We welcome today’s appointment of the Deposit Management Organisation (DMO) to oversee the DRS. Retailers and the BRC have been central to the DMO’s development, committing significant funding, time and resource to get to this point and we are pleased that our voice will continue to be heard as the initiative progresses. The DMO must now get to work to ensure the smooth delivery of a DRS that works for businesses and consumers. We look forward to engaging with them and the government to ensure that DRS makes a meaningful difference to recycling across the UK.”
Sondre Henningsgård, Managing Director of TOMRA UK, which makes reverse vending machines, said:
“DRS represents a huge opportunity for the UK to protect resources for future generations, ensuring that the 26 billion single use plastic bottles and cans consumed each year can be collected for high quality recycling. We are committed to working in partnership across the industry to ensure the success of the scheme. We look forward to bringing our leading technology and experience from other DRS markets to help retailers to prepare effectively for the scheme”.
British Soft Drinks Association Director General, Gavin Partington said:
“The British Soft Drinks Association welcomes the UK Government’s appointment of UK Deposit Management Organisation Ltd as scheme administrator for its Deposit Return Scheme. This appointment marks a key milestone in realising the opportunities of a more circular economy, driving £1.13bn of industry investment over the next three years and creating more than 4,000 jobs across England, Scotland and Northern Ireland. The British soft drinks industry looks forward to playing our part in ensuring successful delivery of a DRS by October 2027.”
