Exchange for Change, the not-for-profit, industry-led organisation delivering the Deposit Return Scheme (DRS) across England, Scotland and Northern Ireland, has confirmed that a flat 20p deposit will be applied on all in-scope containers when the scheme launches in October 2027.
The 20p deposit will be applied to all single-use drinks in PET plastic, steel and aluminium containers between 150ml and 3 litres at the point of purchase, and will be fully refundable to consumers when the containers are returned.
The announcement follows a period of consultation with industry and analysis of existing deposit return schemes across Europe and the rest of the world.
“The deposit value is a pivotal part of how the deposit return scheme will work in practice. That’s why we’ve engaged widely with industry, undertaken extensive market research and in-depth analysis on how schemes work in other countries,” Russell Davies, Exchange for Change chief executive, said.
“This work has identified that a flat 20p deposit is the most proportionate and sustainable amount for the UK. Confirming this now, with just under 18 months to go until the DRS is live, will help producers and retailers with their planning and preparation for the scheme, and we will continue to support them closely throughout this process.”
Exchange for Change’s analysis included behavioural market research to test consumer response to deposit levels ranging from 10p to 30p. This showed that deposit levels below 15p are unlikely to provide sufficient incentive to help achieve target return rates of 90 per cent of containers within three years, while it was found that a 30p level could result in a disproportionate consumer cost exposure at the point of purchase.
The analysis also considered the potential of applying a variable deposit value depending on the size of container or material. While variable deposit structures are in place in some countries with a DRS, the analysis found this often results in consistently lower return rates on smaller containers.
Commenting on the announcement, Travis Way, managing director at RVM experts EcoVend, part of international circular economy specialists 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.”