Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner. Facebook Messenger An icon of the facebook messenger app logo. Facebook An icon of a facebook f logo. Facebook Messenger An icon of the Twitter app logo. LinkedIn An icon of the LinkedIn logo. WhatsApp Messenger An icon of the Whatsapp messenger app logo. Email An icon of an mail envelope. Copy link A decentered black square over a white square.

Inside track on SNP’s deposit return scheme chaos as drinks firms left in limbo

Industry chiefs tell us the costs for businesses forced to take part are already 'impossible to calculate'.

The deposit return scheme has been delayed. Image: Shutterstock.
The deposit return scheme has been delayed. Image: Shutterstock.

Humza Yousaf announced a major reset to his government’s agenda this week as he put the brakes on a number of flagship policies, including the controversial bottle deposit return scheme.

Now delayed until next March, the plan is seen by critics as a clear example of mismanagement and wasted time and money.

Furious drinks industry chiefs now warn the costs incurred by businesses forced to take part in the scheme are already “impossible to calculate”.

Why has the scheme sparked so much anger?

The deposit return scheme – on a surface level – sounds like a well-intentioned policy aimed at improving recycling rates to help the environment.

Customers pay an extra 20p when they buy drinks in single-use containers. They then earn their money back by taking their empty can, bottle or glass to designated return points across Scotland.

Humza Yousaf has delayed the scheme. Image: PA.

But many businesses warn the scheme is poorly designed, hits smaller drinks companies disproportionately and will force them to put up prices in a cost-of-living crisis.

Industry bosses also claim the scheme – which has been steered through Holyrood by the Greens – will create trade barriers with the rest of the UK once regulations are different.

Critics of the policy say it will lead to some drinks firms failing completely and may drive investment out of Scotland.

What do industry leaders say?

Whisky consultant Blair Bowman is a vocal critic of the recycling initiative and has rallied opposition to the scheme in its current form.

He told us: “The current situation is undoubtedly chaotic, with high levels of uncertainty resulting in significant wastage of time, money, and resources for businesses.

Blair Bowman has been a vocal critic of the deposit return scheme.

“The magnitude of this mess has grown to a point where it is impossible to calculate the total wasted costs incurred.”

Dan Connelly, who runs a soft drinks business in Fife, said: “I’m deeply frustrated by how this has been handled.

“We all want a well-planned, well-executed deposit return scheme. The SNP’s effort is neither.”

Fife soft drinks firm owner Dan Connelly.

He added: “Scotland doesn’t need its own deposit return scheme. It should never have got out of the starting blocks.”

The anger was echoed by Frank Murphy, who owns The Pot Still whisky pub in Glasgow.

He told us: “There’s a feeling in the trade that the administration up until now has been anti-alcohol and anti-hospitality.”

He said the launch date was a particularly bad time for the scheme to kick off.

He continued: “Starting it in the middle of the Edinburgh Festival was stupid. I have no idea what muppet thought that date up.”

Why is the scheme being delayed?

Scottish Greens co-leader Lorna Slater, who has overseen the scheme, blamed the UK Government for the delay.

Previously she insisted “no one with any credibility” would hold back the recycling initiative from going live in August.

But she has claimed Westminster is responsible for the delay by refusing to exempt Holyrood from trading laws created after Brexit.

Greens co-leader Lorna Slater in Holyrood.
Scottish Greens co-leader Lorna Slater. Image: PA.

That’s despite Ms Slater also announcing several changes to how the scheme will look due to repeated complaints from smaller businesses.

Mr Bowman rubbished her claims. He said: “It is absolutely nonsensical for Lorna Slater to try to blame the UK Government for the delay.”

A UK Government source said: “Lorna Slater is only embarrassing herself further by making these laughable claims. This is a mess entirely of her own making.”

Some critics have said Holyrood should simply align with Westminster’s version of the scheme – due to launch in 2025 – to avoid extra work for businesses north and south of the border.

SNP rebel Fergus Ewing has slated the deposit return scheme. Image: Jason Hedges/DC Thomson.

SNP backbench rebel Fergus Ewing has slated the scheme, previously warning it threatened to descend into “catastrophe”.

Following the latest delay, he labelled the scheme “broken” and “defective”, and insisted Holyrood should simply align with the UK Government’s scheme.

Can this disaster be salvaged?

Ms Slater estimates £300 million has already been spent on the delayed recycling initiative.

Drinks firms have dedicated months figuring out how they can make the scheme work for them and have spent money preparing.

Brewery boss Nigel Tiddy reckons he has spent £2,000 between making the necessary preparations and obtaining legal advice.

But many businesses support the environmental principles which underpin the scheme and say they are happy to participate if its flaws are fixed.

Orkney distillery owner Stephen Kemp. Image: Rob McDougall.

Stephen Kemp, who runs an Orkney gin distillery, said: “Had the delay not been announced, we’d still have been unable to participate, simply because the scheme as proposed is so fundamentally flawed.

“I expect that over the coming year, the Scottish Government will have to entirely rethink the launch of the scheme.”

Conversation