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The Fed warns legal challenge if Scottish DRS is scrapped

The Fed warns legal challenge if Scottish DRS is scrapped

The Federation of Independent Retailers said it will take legal advice against the SNP/Green administration if the Deposit Return Scheme (DRS) is abandoned.

The threat follows the Scottish Daily Mail report on Monday (22 May) saying the compensation bill for DRS could be as much as £500 million if it is axed by the Scottish government.


The Fed also rejected the comment from Scotland’s First Minister Humza Yousaf that the UK government should pay out any compensation.

“We support a deposit return scheme as it will boost recycling and reduce the litter which blights land and sea,” Mo Razzaq, deputy vice president of the Fed, said.

“However, Scotland’s scheme is deeply flawed and seems unlikely to get off the ground. We believe less than 3 per cent of our members have taken out leasing contracts for the machines to process the empties. For the scheme to succeed, ministers across the UK need to join Ireland in offering small shops financial help to lease these machines.

“And the few that took out contracts are regretting it as the Scottish government isn’t offering compensation for the delay so far. The seven-month delay until March next year is costing them over £2,200 at £320 a month for a five-year lease. We are taking legal advice with a view to court action.”

The Scottish DRS was due to go live this year on 16 August but has now been delayed until 1 March 2024.

The scheme however needs an exemption from the Internal Market Act by the UK government. Scotland’s Circular Economy Minister Lorna Slater has said last week that it could be axed by the end of this month if it is not granted exemption.

Meanwhile, Scottish Secretary Alister Jack has rejected the suggestion that the UK Government would foot the compensation bill for businesses if the scheme is scrapped.

Jack said it would “have nothing to do with the UK Government” if businesses lose money as a result of the scheme being scrapped.

Speaking to the MPs at the Scottish Affairs Committee, he added: “We were formally asked to consider this on 6 March, I have asked for impact assessments, and I haven't seen those yet.

“I have yet to see the workings that could let me take a responsible decision one way or the other on this with any confidence.”

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Indies: It’s criminal police and government turn blind eye to shoplifting

Independent retailers are demanding tougher police action, more bobbies on the beat and harsher punishments as shoplifting levels reach an all-time high, a new survey reveals.

A whopping ninety-one per cent of respondents to a survey conducted by the Federation of Independent Retailers (the Fed) called for more police patrols on streets, while a similar number - 90 per cent - said that shoplifters should be handed harsher sentences.

Seven out of 10 respondents (72 per cent) said their stores had experienced shoplifting, break ins and damage to property, while they and their staff had been physically or verbally threatened.

Just under half of respondents (47 per cent) said they and their employees had been threatened or had suffered abuse and violence when asking for proof of age ahead of selling an age-restricted product.

Forty-four per cent reported that they and their staff had faced abuse or violence because they had refused to make a proxy sale – selling an age restricted product to a customer buying for a minor.

The results of the Fed’s survey came as new figures from the Office of National Statistics revealed that shoplifting was at a record high, with almost half a million offences recorded last year.

According to the ONS, 469,788 offences were logged by forces in the year to June 2024 – a 29 per cent increase on the previous 12 months.

The ONS added that this figure was the highest since records began – in March 2003.

“Inadequate responses from the police and a slap on the wrist for offenders means that shoplifting is soaring, and offenders are becoming more aggressive and brazen,” said Fed National President Mo Razzaq.

“From the responses we received, it is clear that real action is needed by police, by courts and by the government to stem the overwhelming tide of crime against retailers and their staff. Everyone deserves to feel safe at work and for their businesses to be protected against criminals.

“Fed members are also sending a clear message that one of the catalysts for verbal and physical abuse in stores is asking for proof of age before selling an age restricted product. If the government presses ahead with its plans to phase out smoking and vaping through a progressive ban to gradually end the sale of tobacco products across the country, independent retailers will be subject to even greater levels of violence, abuse and theft.”

Calling for action from the government and not just words, Mr Razzaq continued: “Without effective deterrent, criminals and opportunistic members of the public will continue to commit crimes.”

According to Ministry of Justice statistics, during the year to March 2024, 431 fines were handed out for retail theft under £100, while Home Office statistics for the same period show that 2,252 cautions were accepted for shoplifting.

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