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William Watkins, the chief executive of Radnor Hills, has described the situation in Wales regarding the deposit return scheme as a “complete and utter mess.” He emphasized the complications that arise from having differing systems on either side of the England–Wales border, warning that this disparity could pose significant challenges for producers. Watkins stressed the importance of a uniform system across the border, stating, “We have to have a system which is the same on both sides of the border.”
Watkins also highlighted that Wales represents only a small fraction of the broader UK drinks market, which could lead some companies to conclude that supplying certain products in Wales is “simply not worth” their effort. In the lead-up to the Senedd election, Plaid Cymru’s manifesto committed to incorporating glass into the deposit return scheme once this becomes “practically feasible.” However, Watkins expressed disappointment at the lack of change in direction under the new government, attributing the continuation of the previous administration’s plans to entrenched views within the civil service. The responsible Plaid Cymru minister, Llyr Gruffydd, declined to be interviewed by BBC Wales on the matter.
Industry voices, including the British Soft Drinks Association (BSDA), warned that ministers face a looming deadline. There are only “weeks” remaining to appoint a deposit management organisation (DMO) in Wales if the scheme is to launch simultaneously with the rest of the UK by October 1, 2027. To date, only one organisation, Exchange for Change, has submitted an application to become the Welsh DMO; this group already manages the schemes in England, Scotland, and Northern Ireland. Although applications closed on June 2, a decision has yet to be announced. A major point of contention lies in the number of reverse vending machines required for glass collection: the Welsh government anticipates 3,500 machines, while Exchange for Change proposes launching with only 100. Sources familiar with the discussions identified this as a critical issue holding up progress.
Bagnall, a spokesperson involved in the discussions, warned that there is “no time left” to create a separate Welsh system from scratch—an option permitted only if no DMO is appointed. He emphasized the urgency, saying, “We need decisions in the next few weeks if we’re to have any realistic chance of getting a scheme up and running by October 2027.” Meanwhile, Owen Derbyshire from Keep Wales Tidy urged the new Welsh government to continue moving forward with the plans, criticizing the drinks industry for what he called “misinformation.” Derbyshire pointed out that similar objections have been raised every time deposit return schemes have been implemented around the globe, but in practice, none of the critics’ claims have ever materialized. He described these campaigns as “misinformation [and] disinformation, which absolutely doesn’t survive contact with any of the international evidence we’ve seen.”
Responding to the ongoing concerns, a Welsh government spokesperson reaffirmed their commitment to working “closely with industry to ensure the arrangements are right.” They highlighted that a formal process to appoint the DMO remains underway, dismissing suggestions of delay and stating that it would be “inappropriate to pre-judge the outcome of the ongoing formal process.”
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