The Welsh Government has reopened applications for a Deposit Management Organisation (DMO) to oversee its planned Deposit Return Scheme (DRS) after it failed to appoint a DMO.
Industry sources indicate that Exchange For Change – the appointed DMO for England, Scotland and Northern Ireland – was the sole applicant during the first round but was not selected.
The decision leaves Wales without a confirmed scheme administrator less than 18 months before its DRS is scheduled to launch in October 2027.
The move comes as the Senedd has been dissolved ahead of the elections on 7 May, meaning that a DMO cannot be appointed until after the next government takes office.
A second application window has now been openly, with submissions closing on 2 June 2026.
Wales’s proposed DRS differs from the rest of the UK in that it includes glass drink containers, adding complexity to the scheme’s design and delivery.
The Welsh Government has confirmed it is unable to comment on the decision due to pre-election restrictions on communications.
British Soft Drinks Association Director General Andy Bagnall added: “Rejecting the only viable applicant to be the Deposit Return Scheme administrator for Wales on the day the Senedd is dissolved for elections is a major disappointment for anyone who wants to kickstart the circular economy, see litter cut, and boost recycling.”
Glass inclusion continues to be questioned
The inclusion of glass, and how the scheme will work alongside the other UK nations, have been ongoing concerns for some in the sector.
British Glass has called for a pause on the Welsh proposal to include glass beverage containers, warning that key questions over costs and system alignment remain unresolved.
Bagnall explained: “Industry needs certainty and a relentless focus on operational delivery to ensure the scheme for plastic bottles and metal cans can go live with the rest of the UK in October 2027.
“Industry also needs early engagement with the new government to find a practical way forward on the ambition for the Welsh scheme to include glass, so that unnecessary costs are not placed onto businesses and Welsh consumers.”
The DMO will be an independent, not-for-profit, private body responsible for managing the DRS in Wales.