Exchange for Change announces DRS fees for return point operators
Exchange For Change has confirmed the fees to be paid to return point operators under the Deposit Return Scheme (DRS) across England, Scotland and Northern Ireland.
As the UK’s official Deposit Management Organisation (DMO), the not-for-profit is responsible for delivering the DRS – which will launch in October 2027.
Following a consultation with industry, the fees have been set at 3p per container for manual return points.
Meanwhile, automatic return points have two tiers – 5p per container up to 225,000 in-scope items returned annually and 1.3p per container for yearly returns above that threshold.
Hetal Patel, national president of the Federation of Independent Retailers (the Fed), said: “The retail handling fee is a very important element of the whole scheme.
“While we would have preferred higher rates, the fees announced are not unexpected and we welcome certainty about what they will be.
He added that the Fed has “some concerns about the direct and indirect costs associated with DRS – including things like capital, labour, maintenance and lost floor space.
“We await final details on key aspects like grants for those hosting reverse vending machines – which we have backed – as well as criteria around exemptions.”
As a member of the advisory board for Exchange for Change, the Fed works closely with the DMO to highlight the importance of independent retailers to the scheme.
As Harpers reported, it previously welcomed the deposit introduced by Exchange for Change back in April – which will be set at 20p.
Commenting on the announcement, Travis Way, MD at RVM experts EcoVend (who make reverse vending machines), explained that: “The confirmation of Return Handling Fees is another important milestone for businesses preparing for the introduction of the UK Deposit Return Scheme.
“For retailers, having greater clarity on the financial framework now will help support investment decisions and operational planning ahead of the scheme's launch in 2027.
“The commitment to review fees before launch and on an ongoing basis will also be important.
“As businesses gain experience of operating within the scheme, it is vital that the fee structure continues to reflect real-world costs and supports high levels of participation, helping to deliver the strong return rates needed to create a more circular economy.”
While the UK scheme – covering England, Scotland and Northern Ireland – will be managed by Exchange for Change – the Welsh DMO is yet to be announced, with applications only closing yesterday (2 June).
There has been some controversy over the decision to include glass in the Welsh DRS, with the WSTA calling the policy costly and ineffective, as Harpers reported.
The Welsh government has expressed its desire for their DRS to be interoperable with the rest of the UK.
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