Exchange for Change confirms flat 20p deposit value for DRS

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 aluminium, steel and PET plastic 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 extensive consultation with industry and analysis of existing deposit return schemes across Europe and the rest of the world. This work looked at different deposit values and variable approaches to consider the most effective way to ensure the deposit provides a sufficient behavioural incentive for consumers to return containers, is proportionate and simple to understand and is workable for producers and retailers.   

Confirming the deposit level is another significant milestone in Exchange for Change’s work to prepare for the launch of the DRS. Announcing the deposit value with just under 18 months to go until the scheme goes live is intended to support producers and retailers in their planning. 

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% 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.  

Russell Davies, Exchange for Change CEO, said: “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. 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.”