Scottish hospitality welcomes delay to 'poorly designed' deposit return scheme

Scotland’s first minister Humza Yousaf has said that the launch of Scotland’s controversial deposit return scheme (DRS) will be delayed until March of next year.

The statement came following Yousaf’s address to the Scottish government on Tuesday 18 April.

The DRS, initially due to be launched on 16 August 2023, is designed to improve recycling rates in Scotland by adding a 20p deposit to the cost of every single-use drinks container. This includes containers made from PET plastic, glass, aluminium or steel. But the scheme has faced strong opposition from many in the hospitality sector.

Stuart Devine, operations director of the Ashvale restaurant group in the north east of Scotland, said his main concern was the financial impact the scheme could have on smaller businesses. He added that the delay would give the government and businesses time “to think how the process will work”.

Devine said he is in favour of such a scheme but wants the Scottish government to speak to smaller operators ahead of next March and understand the implications it could have financially and operationally.

“If we are getting bottles returned to us on a busy Friday night and we are dealing with that while trying to serving customers, it would be suicidal," he added.

UKHospitality Scotland's executive director Leon Thompson said that a delay and review of the "poorly designed" scheme was the trade body's main significant request of the new first minister and that he was “delighted” Yousaf had responded to the calls.

He added: “Not only will the delay to the Deposit Return Scheme avoid inflicting enormous pain and cost onto hospitality businesses this August, it also offers a signal to business that their concerns are being heard and their importance to the Scottish economy recognised.”

The (SLTA) Scottish Licensed Trade Association also welcomed the announcement but warned that time must be used to revisit the scheme to make it “workable and practicable”.

SLTA managing director Colin Wilkinson said: “It’s excellent news for our sector as many pubs and restaurants have been extremely worried about how the DRS is going to work in practice – common sense has prevailed.

“However, there is still going to be a DRS – this is just a delay – and it’s absolutely crucial that the Scottish government now seriously listens to the concerns of industry to ensure that the DRS, when it is implemented next year, is fit for purpose for businesses and consumers.”

While addressing the Scottish government, Yousaf said the delay is part of a wider “reset” between the Scottish government and businesses.

He added that he remains committed to reducing litter, increasing recycling and achieving net zero targets, but that he has listened to businesses’ concerns “about the scheme’s readiness” and has decided to delay its introduction until next spring.

The scheme is being administered by non-profit organisation Circularity Scotland, which receives government guidance from Scotland's circular economy minister Lorna Slate.