Drinks industry slams the Welsh Government’s decision to include glass in the Welsh Deposit Return Scheme, which will cost businesses and consumers and won’t be better for the environment

The decision by the Welsh Government to include glass in its unique Deposit Return Scheme (DRS), will add further delay to introducing DRS due to the complexities of glass collection and, contrary to claims from the Welsh Government, it will require unique labels from day one of the scheme.

Branding the inclusion of glass “a recipe for disaster”, trade bodies warn consumers will see products disappear from the shelves in Wales as identifying stock for the Welsh market will become prohibitively expensive.  Despite disingenuous claims from the Welsh Government that there will be no labelling obligations for the first four years of the scheme, stock will have to be identified either as ‘not for sale in Wales’ or ‘for sale in Wales only’ to avoid paying environmental charges applicable in the rest of the UK.

The Welsh Government’s claim that including glass will be more environmentally friendly is also flawed – because economies of scale will be lost and glass collections may fall. Moreover non-drinks containers such as glass jars will continue to be collected at the kerbside, creating greater inefficiency and costs.

As the Trade associations representing the most affected sector, we believe the scheme should be fully aligned with the rest of the UK. The Welsh Government should now appoint a Deposit Management Organisation, as soon as possible, look again at the inclusion of single use glass, how it is funded and labelling implications.

Key concerns include:

  • Mass market withdrawal: Up to 97% of product lines* (SKUs) could be withdrawn from the Welsh market because the burden of compliance makes trading there uneconomical.
  • Prohibitive labelling costs: Producers would be forced to apply unique “Wales only” labels at the point of bottling to prevent fraud and manage distinct tax obligations, a process described as prohibitively expensive.
  • Economic shock to SMEs: While glass recycling rates in Wales already exceed 90%, the new scheme would impose a significant economic shock on small businesses, importers, and the hospitality sector without delivering meaningful environmental gains.
  • Environmental counter-productivity:  We believe the scheme could jeopardise Wales’ world-leading kerbside collection rates and perversely incentivise a shift from sustainable glass to less recyclable packaging formats.

*WSTA figures based on member feedback in 2026.

Quotes from drinks industry leaders -

Miles Beale, Chief Executive of the Wine and Spirit Trade Association, said:  

“While our industry is fully committed to producers paying for the waste they place on the market, including a UK-wide DRS for metal and plastic drinks containers by 2027, the Welsh Government’s insistence on including glass is a recipe for disaster. It will lead to a wide range of wine and spirit products disappearing from Welsh shops and supermarkets and create a barrier to trade that simply does not need to exist. It should be blindingly obvious that the only way to ensure unhindered market access and a successful DRS is to align the scope of materials across all of the UK.

The additional pressure on wine and spirit businesses comes at a time when tax increases and costs – many of which are a direct result of government policies - are going through the roof.  Not only will this mean higher prices and reduced choice for consumers, but the blinkered move will not deliver any meaningful environmental gains”.

Andy Slee, Chief Executive of the Society of Independent Brewers and Associates (SIBA), said: 

“SIBA are fully committed to supporting the principle of a Deposit Return Scheme providing it is effective in improving recycling and reducing waste. However in its current form the proposed system in Wales simple will not achieve this, and having played a leading role in the delay of the Scottish DRS which was not ready for launch, we are disappointed that lessons don’t seem to have been learnt by the Welsh Government.

“These plans will sadly inevitably lead to higher costs and a poorer choice for consumers, with small producers on either side of the border avoiding supplying the Welsh market for economic reasons. We implore the UK Government to see sense and reconsider the decision and for Wales to join a UK wide scheme with the same scope as the drinks industry has been calling for.”

James Bielby, Chief Executive. FWD Food and Drink Wholesale UK said:

“This is the worst of all worlds. Alignment with the rest of the UK on PET and aluminium from October 2027 is welcomed, but the inclusion of glass in Wales from 2031 creates confusion and will reduce consumer choice. It will create trading borders within the UK, increase costs, and damage the profitability of businesses working across the borders.

Wholesalers operating in both England and Wales will need to segregate stock, which will require a significant increase in warehouse space, and investment in processes.

Alongside this, retailers in Wales will have to invest in a more expensive Reverse Vending Machine for use from October 2027, which keeps glass containers intact, to be ready to accommodate glass from 2031. Those who cannot make this investment will be required to take back glass manually, with health and safety risks, as well as being put at a competitive disadvantage against those retailers who will be able to invest to appropriate RVMs – typically large supermarkets.”

Nick Kirk, Federation Director at British Glass said:

“The evidence is clear: kerbside systems already deliver exceptional results for glass in Wales. The decision prioritises complexity over common sense.”

Fenella Tyler, Chief Executive of the National Association of Cider Makers said:

“As an industry we fully support the need for a circular economy and as a part of that we recognise the role that DRS plays. However the scheme will only achieve its objectives if the approach is aligned across all four nations. A separate approach to glass in Wales can only result in higher costs and poorer choice for the Welsh consumer.

The Welsh Government has failed to understand the significant cost burden that producers would face in managing separate labelling for sales of glass bottles. Sadly, for many producers it will be a cost too far and they will simply remove their products from sale in Wales. “

Mark Kent, Chief Executive of the Scotch Whisky Association, said: 

“We have repeatedly called for any DRS to be consistent and interoperable across the UK to avoid additional complexity and cost for producers and consumers. The Welsh DRS as currently devised would hamper the efforts of businesses to bring about a more circular economy, increase the regulatory burden, and lead to fewer products on sale to consumers given the higher cost of supplying the Welsh market.

“In line with best practice of other international schemes, the Scotch Whisky industry has long called for the exclusion of glass from DRS. The Welsh Government’s decision will harm the availability of Scotch Whisky to the Welsh consumer without clear environmental benefits. It is disappointing that industry warnings and the lessons from the development of the Scottish DRS have not been taken into consideration.”

Kate Nicholls, Chair of  UKHospitality, said:  

“Welsh hospitality businesses have led the way in glass recycling, but this decision is a backwards step.

“We have consistently called for an aligned and uniform Deposit Return Scheme across the UK to ensure the best outcomes for businesses, customers and the environment.

“Unfortunately, Wales choosing to take a different approach will lead to higher costs and a reduction of choice for people across Wales.

“The Welsh Government needs to urgently alter its path to deliver a workable solution that can maintain and enhance our already excellent recycling rates, rather than hinder it.”

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