Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, whether his Department has modelled the financial effect on local authority budgets of including (a) glass and (b) aluminium drinks containers in a proposed Deposit Return Scheme.

The Government's commitment to introducing a DRS is part of our commitment to reform producer responsibility systems to incentivise producers to take greater responsibility for the environmental impacts of their products.

The Government is keen to avoid any unintended consequences of introducing a DRS. We have consulted widely with industry stakeholders on the design and delivery of our proposed DRS and intend to continue engagement this year. An Impact Assessment will be published alongside the second consultation in 2021 which assesses the costs and benefits of a DRS, including the costs to business and the expected impact a DRS will have on kerbside recycling rates. No specific assessment has been made of the potential effect on food and drink manufacturers choosing to switch to plastic and other cheaper packaging materials as a result of the DRS. We intend to carry out a new burdens assessment to reflect the impact on local authority budgets stemming from the waste reforms policies, which will include DRS.

We recognise that the introduction of a DRS will remove in-scope materials from existing local authority waste streams as they become part of the DRS. However, we propose local authorities will be reimbursed for the costs incurred in managing any DRS materials that do still end up in these waste streams where consumers choose to forego the deposit on containers. Funding options for local authorities in this scenario are explored further in our forthcoming consultation.