With just over a year to go until the UK’s Deposit Return Scheme (DRS) comes into force, convenience retailers are entering a crucial period of preparation. From 1 October 2027, shoppers will pay a refundable 20p deposit on eligible single-use drinks containers, with retailers playing a central role in collecting containers and returning deposits.
The scheme is designed to increase recycling, reduce litter and improve the recovery of valuable packaging materials. For convenience retailers, however, it will also bring changes to store operations, customer service, stock management and the use of valuable retail space.
What Will Change?
The DRS will cover eligible single-use drinks containers between 150ml and 3 litres, made from PET plastic, aluminium or steel. In England, Scotland and Northern Ireland, a 20p deposit will be added to each eligible container. The customer will be able to reclaim the deposit when the empty container is returned through an approved return point.
Glass containers will not be included in the scheme in England, Scotland and Northern Ireland, while Wales is taking a different approach to glass. For retailers, one of the biggest considerations will be whether they are required to provide a return point.
Larger stores and many retailers selling in-scope drinks will have obligations to provide collection facilities, although exemptions will apply in certain circumstances, including some smaller urban stores. Where a return point is required, retailers will need to decide whether to operate a manual return point or install a reverse vending machine (RVM).
That decision will depend on factors including available space, expected volumes, customer footfall, investment costs and how easily the system can be incorporated into the existing store operation.
Planning the Store
Space will be one of the biggest issues for convenience retailers. An RVM requires a suitable location, while returned containers need to be stored and collected efficiently. Stores will also need to consider access, power, connectivity and the impact on the wider customer journey.
Retailers should therefore begin assessing their premises now rather than waiting until 2027. The transition period will be particularly important. Stores are likely to handle products placed on the market before DRS begins alongside DRS-labelled products, meaning clear communication will be essential.
Shelf-edge messaging, POS materials and staff knowledge will all help customers understand which products carry a deposit and how it can be reclaimed.
Staff Will Be Key
Despite the focus on technology, employees will remain an important part of the DRS experience. Customers will inevitably have questions about eligible products, deposits and refunds, particularly when the scheme first launches.
Retailers should therefore consider staff training well ahead of October 2027. The objective should be to make DRS feel simple rather than complicated. Colleagues need to be confident explaining the process and resolving common problems quickly.
CCEP Tests Accessibility
Coca-Cola Europacific Partners (CCEP) is also looking at an important question beyond the basic mechanics of DRS: will the scheme be accessible to everyone? Last month, CCEP, Exchange for Change and Special Olympics Great Britain partnered on a live DRS trial during the Special Olympics GB National Summer Games in Birmingham.
The trial gave athletes with intellectual disabilities, alongside spectators, volunteers and supporters, the opportunity to use reverse vending machines in a real-world environment. The objective was to identify potential barriers and understand how people interact with the technology, instructions and DRS messaging.
The trial provided valuable insight into how RVMs and communications can be made easier to understand and use before DRS is introduced nationally. It is a reminder that successful implementation cannot simply be about installing machines. The system needs to work for different customers, abilities and circumstances.
What Retailers Can Do Now
- Check your obligations: Establish whether your store will need to provide a return point and understand any applicable exemptions.
- Assess your space: Identify where an RVM or manual return point could operate without disrupting the store.
- Plan storage: Consider how returned containers will be stored and collected.
- Train staff: Make sure colleagues understand the scheme and can answer customer questions.
- Prepare communications: Plan clear signage and POS materials to explain deposits and refunds.
- Review your range: Think about stock rotation and the transition between pre-DRS and DRS products.
- Consider the opportunity: Explore how a return point could generate additional visits and encourage shoppers to purchase while in-store.
DRS Retailer Readiness Survey
With preparation now moving up the agenda, Exchange for Change is launching a monthly DRS Retailer Readiness Survey to track how retailers are feeling about the introduction of the scheme.
The anonymous survey is designed to give a clearer picture of retailer readiness, exploring understanding and perceptions of DRS, the steps businesses are taking ahead of launch, and where additional information, guidance or support is needed.
Exchange for Change says the feedback will help it identify changing needs across the sector and shape future communications and guidance as retailers prepare for the October 2027 launch. The survey takes just a few minutes to complete, and participating retailers can also choose to enter a prize draw to win up to £250 in Amazon vouchers, subject to the applicable terms and conditions.
Retailers can take part in the DRS Retailer Readiness Survey here – https://bit.ly/4r1o46C
DRS will represent one of the biggest changes to drinks retailing in decades. For convenience retailers, preparation will be about much more than finding space for an RVM. The stores that plan early, train their teams and focus on making the process simple for shoppers will be best placed to manage the operational challenges, and potentially benefit from the additional footfall.
Download the ACS Deposit Return Scheme Guide here for more retailer guidance – https://www.acs.org.uk/advice/deposit-return-scheme-guide-retailers
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