Packaging and products EWSNI

Deposit return scheme for drinks containers (from October 2027)

From 1 October 2027 a deposit will be added to single-use drinks containers of 150ml to 3 litres made of PET plastic, aluminium or steel across the UK, refunded when the container is returned. Drinks producers must register with the deposit management organisation, pay fees and label containers; supermarkets, convenience stores and newsagents must host return points. Wales runs its own scheme, also from October 2027, which includes glass with a four-year transition.

Reviewed against official sources on 14 October 2026. 5 minute read. Regulators: Environment Agency, NIEA, SEPA, Natural Resources Wales, Trading Standards, UK DMO, Exchange for Change.

At a glance

Who must comply: Producers and importers of drinks in PET, aluminium or steel containers of 150ml to 3 litres; grocery retailers selling them; online sellers; hospitality that sells sealed containers to take away.
Thresholds: Product lines under 5,000 units a year are exempt from fees, deposits and labelling but must still be registered and reported. Urban retailers under 100 square metres are exempt from hosting a return point.
Next key date: 1 October 2027: schemes go live in England, Northern Ireland, Scotland and Wales. Producer registration with the DMOs opens beforehand.
Regulator: UK DMO (England, Northern Ireland and Scotland) and Exchange for Change (Wales) run the schemes; the Environment Agency, Trading Standards, NIEA, SEPA and NRW enforce.
Maximum penalty: Civil sanctions and criminal offences under the Deposit Scheme for Drinks Containers regulations, including fines on conviction for supplying unregistered or unlabelled containers.
Where to do it: Producer and return point registration through the deposit management organisation for your nation.

This probably applies to you if

You brand, fill or import drinks sold in plastic bottles or cans of 150ml to 3 litres
You run a supermarket, convenience store, newsagent or other grocery shop that sells those drinks
You sell in-scope drinks online for home delivery
You run a pub, café, gym, cinema or venue that sells sealed drinks to take away
You are a large packaging producer whose EPR fees currently cover drinks containers

What the deposit return scheme is

A deposit return scheme (DRS) adds a refundable deposit to the price of a drink in a single-use container. The consumer gets the deposit back when they return the empty container to a return point, usually a reverse vending machine or a shop counter. Unredeemed deposits and producer fees fund the scheme, and the collected material is recycled back into bottles and cans.

The Deposit Scheme for Drinks Containers (England and Northern Ireland) Regulations 2025 set the England and Northern Ireland scheme; Scotland has aligned its scheme with the same launch date and scope; and the Deposit Scheme for Drinks Containers (Wales) Regulations 2026 create a Welsh scheme. All four nations launch in October 2027, and the deposit management organisations are working on a common deposit level and labelling.

Containers in scope

In scope	Out of scope
Single-use containers of 150ml to 3 litres made mainly of PET plastic, aluminium or steel, with any lid material	Glass (except in Wales, where glass is included with a four-year transition)
Water, soft drinks, juices, beer, cider, spirits mixers, energy drinks, milk-based drinks in PET or cans	HDPE containers such as milk bottles
Containers sold filled, including imports	Liquid medicines, syrups, flavour enhancers and sweeteners; refillable or reusable containers

What drinks producers must do

If you place in-scope drinks on the UK market as the brand owner, filler or importer you must:

register with the deposit management organisation (DMO) for each nation you sell in, before the launch;
report the number of containers placed on the market and pay producer fees based on that number;
add the scheme label and identification marker (a logo and a barcode or QR code the return machines read) to every container; suppliers may only supply filled containers that carry scheme labelling;
charge the deposit down the supply chain so that it reaches the consumer and can be refunded.

Product lines selling fewer than 5,000 units a year are exempt from fees, deposits and labelling but must still be registered and reported.

The DMO for England, Northern Ireland and Scotland is UK Deposit Management Organisation (UK DMO), appointed in spring 2025. Wales appointed Exchange for Change on 20 August 2026. The two bodies have said they will coordinate on a single logo and deposit level.

What retailers and hospitality must do

Business	Obligation
Supermarkets, grocery stores, convenience stores, newsagents selling in-scope drinks	Must register and host a return point (manual or reverse vending machine), refund deposits, store returned containers for collection and display scheme information
Urban retailers with less than 100 m² of retail floor space	Exempt from hosting a return point, but may volunteer
Other retailers	Can apply for an exemption if a return point is nearby or the premises make hosting impractical, with evidence
Online sellers delivering to homes	Must take back containers (takeback service obligations are set by the regulations and DMO guidance)
Hospitality venues selling sealed drinks to take away	Must charge the deposit; venues that only serve drinks for consumption on the premises can retain containers and reclaim deposits as a return point operator

Return points receive a handling fee from the DMO to cover the cost of collecting and storing containers.

How DRS interacts with packaging EPR

Containers in a live DRS leave the packaging EPR disposal fee system, because the DMO pays for their collection instead of local authorities. Drinks producers will therefore see their EPR household packaging tonnage fall from 2027/28 for PET and metal containers, while glass bottles remain in EPR outside Wales. If a DRS is not operating by the date set in the EPR regulations, the containers fall back into full EPR obligations.

Getting ready, step by step

List your in-scope products
Every drink line in PET, aluminium or steel between 150ml and 3 litres, by nation of sale and annual units, flagging lines under 5,000 units.
Register with the DMOs
UK DMO for England, Northern Ireland and Scotland, and Exchange for Change for Wales, as soon as producer registration opens.
Plan the label change
Artwork, barcodes or QR markers and any Welsh-specific labelling; agree timings with co-packers and importers so stock on sale on 1 October 2027 is compliant.
Retailers: decide how you will take returns
Reverse vending machine or manual counter returns, space for storage, and whether you qualify for or want an exemption.
Update pricing, tills and systems
The deposit must be shown and charged separately, refunded correctly, and reconciled with the DMO.

Enforcement

The Environment Agency and Trading Standards enforce in England, NIEA in Northern Ireland, SEPA in Scotland and NRW and councils in Wales. The regulations create offences and civil sanctions for producers who supply unregistered or unlabelled containers and retailers who fail to host a return point or refund deposits. Detailed enforcement guidance is expected from the regulators and DMOs before launch.

How it differs across the UK

E England: Scheme under SI 2025/67, run by UK DMO from 1 October 2027. PET, aluminium and steel containers of 150ml to 3 litres; glass excluded. Enforced by the Environment Agency and Trading Standards.
W Wales: Separate scheme under the Deposit Scheme for Drinks Containers (Wales) Regulations 2026, run by Exchange for Change from October 2027. Includes glass, with a four-year transition during which glass carries a zero deposit and is exempt from labelling.
S Scotland: Scotland's earlier 2023 scheme was replaced by alignment with the UK-wide approach: launch in October 2027, PET and metal only, administered by UK DMO.
NI Northern Ireland: Joins the England scheme under SI 2025/67 from 1 October 2027, run by UK DMO and enforced by NIEA.

Key dates

1 Oct 2027

Deposit return scheme for drinks containers launches in England, Northern Ireland, Scotland and Wales

Drinks producers, importers, retailers and online sellers EWSNI
Oct 2031

End of the four-year transition for glass containers in the Welsh deposit return scheme

Producers of drinks in glass sold in Wales W

Dates marked “Proposed” are announced or consulted on but not yet law. See the full deadlines calendar.

Penalties and enforcement

Breach	Penalty	Applies in
Supplying in-scope drinks containers without registration or scheme labelling, or failing to operate a required return point	Offences and civil sanctions under the DRS regulations, enforced by the Environment Agency, Trading Standards and the devolved regulators	ENI	Source

Compliance checklist

In-scope drinks lines identified by nation and annual units
Registered with UK DMO and, if selling in Wales, Exchange for Change
Scheme logo and identification marker added to packaging artwork
Deposit charged through the supply chain and shown separately on invoices
Retail sites assessed: return point, exemption application or voluntary participation
Till, pricing and reconciliation systems updated for deposits and refunds
Packaging EPR data adjusted for containers leaving the fee system

Where to do it: official services

Deposit return scheme: drinks producer and retailer responsibilities Guidance
The official statement of scope, producer and retailer duties and exemptions. Defra via GOV.UK ENI
Appointment of the Deposit Management Organisation for Wales (written statement) Guidance
Confirms Exchange for Change, the October 2027 launch and the glass transition. Welsh Government W
Deposit Scheme for Drinks Containers (England and Northern Ireland) Regulations 2025 Guidance
The regulations setting out scope, registration, labelling, return points and offences. legislation.gov.uk ENI

The law behind this

Questions people ask

When does the UK deposit return scheme start?

On 1 October 2027 in England and Northern Ireland under the 2025 Regulations, with Scotland aligned to the same date and Wales launching its own scheme in October 2027. The original 2025 date was pushed back in April 2024 to give the deposit management organisations time to build the return network.

Is glass included in the deposit return scheme?

Not in England, Northern Ireland or Scotland, where only PET plastic, aluminium and steel containers of 150ml to 3 litres are in scope and glass stays in packaging EPR. Wales includes glass in its scheme but with a four-year transition during which glass containers carry a zero deposit and are exempt from scheme labelling.

How much will the deposit be?

The deposit level has not been published. The regulations leave it to the deposit management organisations, which have said they will set a common level across the UK before launch. Deposits in comparable European schemes are typically between 10p and 25p equivalent.

Do small shops have to take back containers?

Supermarkets, grocery stores, convenience stores and newsagents selling in-scope drinks must host a return point, but urban retailers with less than 100 square metres of retail space are exempt and may volunteer. Other retailers can apply for an exemption if a return point is close by or their premises make hosting impractical.

What happens to packaging EPR fees for bottles and cans?

Containers covered by a live deposit return scheme leave the packaging EPR disposal fee system, because the DMO rather than local authorities pays for their collection. From the 2027/28 scheme year drinks producers should see PET and metal containers drop out of their household packaging fees; glass bottles stay in EPR outside Wales.

Terms used in this guide

Deposit management organisation (DMO): The industry-led, not-for-profit body appointed to run a deposit return scheme: registering producers and return points, setting the deposit and fees, and paying handling fees.
Return point: A shop or other location where consumers return empty containers and receive their deposit, by reverse vending machine or over the counter.
Reverse vending machine: A machine that scans a container's scheme marker, accepts it and refunds the deposit.
Low-volume exemption: Product lines of fewer than 5,000 units a year, which are exempt from fees, deposits and labelling but must be registered and reported.

Full glossary

Sources

Reviewed 14 October 2026. If you spot something out of date, email info@thamesenvironment.com.