The Government has today (27) implemented legislation for the deposit return scheme for drinks containers in England and Northern Ireland. The scheme will come into force in October 2027.
Post October 2027, consumers will have a financial incentive to return empty containers to a collection point, such as at their local supermarket and stores, so that the bottle or can will be recycled.
The 150ml to three-litre single-use drinks containers made from plastic and metal included in the scheme.
With the new legislation for England and Northern Ireland now into force, the scheme administrator – known as the Deposit Management Organisation – will be appointed in April 2025. This will be a not-for-profit, industry-led body responsible for the administration and day-to-day running of the scheme.
With Scotland’s own regulations also progressing, this marks a major step forward for the introduction of the scheme across the three nations, stated the official announcement.
The three governments will ensure the scheme is implemented effectively, working closely with businesses to provide the infrastructure and investment to make it a success.
Circular Economy Minister Mary Creagh said, "This Government will clean up Britain and end the throwaway society.
"This is a vital step as we stop the avalanche of rubbish that is filling up our streets, rivers and oceans and protect our treasured wildlife.
"Turning trash into cash also delivers on our Plan for Change by kickstarting clean growth, ensuring economic stability, more resilient supply chains, and new green jobs."
Association of Convenience Stores chief executive James Lowman said, "We are pleased to have certainty on the DRS regulations so local shops can start to prepare for October 2027 and our communities can realise the benefits of reduced litter and higher quality recycled materials.
"Now the real work begins to make the deposit return scheme a success through cross-industry partnership and a planned network of return points that work for customers."
Welcoming the scheme, Stephen Moorhouse, Vice President and General Manager of Coca-Cola Europacific Partners GB Business Unit, said, "We’ve been supportive of launching a DRS across the UK for a number of years as they are a proven way of increasing recycling, reducing waste and tackling litter.
"Therefore, we welcome the clarity provided by the regulation for England and Northern Ireland and are encouraged by recent developments that will ensure an aligned scheme with Scotland, despite wider challenges around a UK-wide approach.
"Delivering to the timelines will be challenging but achievable, and now is the time for industry to roll up its sleeves to create a well-designed system that works for businesses, shoppers and the environment."
Hitting this milestone is another big step forward for the Government’s collection and packaging reforms, which together will support 21,000 new jobs and stimulate more than £10 billion of investment in recycling over the next decade.
On the same day Chancellor Rachel Reeves announced plans to kickstart the UK’s floundering economy, the Scottish Licensed Trade Association (SLTA) revealed in its latest Market Insight Report that 80 per cent of survey respondents expect the Scottish economy to decline – with six per cent considering closing their premises.
The SLTA's report gives a snapshot survey of the challenges faced by Scotland’s pubs, bars and hospitality venues in the year 2024, with a deep dive into the festive trading period, and the expectations of the sector in 2025.
It reveals that the Scottish licensed hospitality industry ventures into 2025 with concerns over continued pressure from rising costs, staff availability, changes to employers’ national insurance contributions, and low economic confidence.
The survey’s responses represent over 400 pubs, bars, restaurants and hotels, covering the full spectrum of licensed hospitality businesses throughout the country, and contain key insights into the continued challenges facing hospitality, driven by a challenging economic environment and visitors with less disposable income.
“Christmas and New Year was a difficult period for our industry with a universal theme of visitors spending less time in outlets and spending less on food and drink. We did see an upturn in lower-strength products, but this was offset by customers having ‘one course instead of two," said Colin Wilkinson, SLTA managing director.
“Over the course of the calendar year, 49 per cent of outlets were down year on year, but over the festive period this increased to a worrying 69 per cent of outlets reporting a decline.’’
Mr Wilkinson added: ‘‘We also continue to face rising costs and staff shortages – 38 per cent of outlets told us that staff availability is impacting upon opening hours, up from 23 per cent in the summer. We are also seeing increased costs from suppliers and government increases in taxes.
“Regarding the pending changes to NI contributions, 75 per cent of outlets expect new employers’ NI costs to impact on their staffing levels. This will make it even more difficult for businesses to open their full operating hours, remain competitive and get more people into our venues.
“We are also facing the harsh reality that six per cent of respondents are seriously considering closure.”
The SLTA has been conducting Market Insight Surveys for nearly 10 years with the analysis based on quantitative research from outlets covering the length and breadth of the country. This survey is supported by major food and drink chains, and independent pubs, bars and hotels, across Scotland’s licensed hospitality sector.
Commenting on staff availability and how the government can support the sector, Mr Wilkinson added: “One proposal that the SLTA supports is the introduction of a Scottish hospitality workers’ visa, which could help to alleviate staff shortages.
“The hospitality industry fulfils a critical role in Scotland’s food, drink and tourism industry, and we are keen to work with government to explore opportunities to protect jobs in this vital sector and help businesses to work to their full potential.”
An undercover operation conducted by Japan Tobacco International (JTI) in Crewe has shone a light on illicit tobacco activity in the town with eight stores found to be selling illegal tobacco products.
The exercise, which involved undercover operatives making multiple test purchases, has added to the growing evidence that illicit tobacco and vapes sales are rife across the UK.
Counterfeit Amber Leaf hand rolling tobacco was bought for as little as £3, compared to £38.10 for the genuine product. The highest price paid on the day was £7, also for a counterfeit version.
Counterfeit Winston cigarettes were bought for £4, compared to £14.25 for the genuine product.
Three of the stores tested were also found to be selling illegal products during a similar exercise in 2021.
All evidence and information gathered has been made available to Trading Standards and HM Revenue & Customs in anticipation that it will support their efforts to enforce and prosecute anyone found to be selling illegal products.
“It is shocking that these criminals are selling illegal tobacco in the town where JTI has its national distribution centre and is a prominent employer," said Ian Howell, Public Affairs Manager at JTI UK.
Cheshire East Council has stated that, "illicit tobacco has proven links to organised crime and the sale of such products can contribute to human trafficking, modern slavery, prostitution and terrorism".
Howell added: “Crewe’s residents need to think about this when they are, or they see others, buying a cheap pack of cigarettes or hand rolling tobacco.
“JTI calls on anyone with information about the sale of illegal tobacco or vapes to contact Trading Standards via the Citizens Advice consumer helpline on 0808 223 1133, or through Cheshire East Council’s website.”
If anyone knows of a store that is selling illicit tobacco or vapes, they should report them by calling Trading Standards through the Citizens Advice consumer helpline on 0808 223 1133 or contact HM Revenue & Customs’ Fraud Hotline (0800 788 887), or Crimestoppers (0800 555 111).
A.G. Barr, the beverage company behind brands like IRN-BRU, Rubicon, Boost, and FUNKIN, has announced a sparkling trading update for the full year ending January 25, 2025, anticipating sustained revenue growth and double-digit profit growth.
A.G. Barr expects revenue of approximately £420 million for the 2024/25 fiscal year, a 5 per cent increase from the previous year's £400 million. The company also anticipates a strong improvement in its adjusted operating margin, which is projected to rise to 13.5 per cent, up from 12.3 per cent in 2023/24. This margin expansion has driven double-digit growth in adjusted profit before tax, reflecting the company’s focus on operational efficiency and strategic investments.
“A.G. Barr is in line to deliver another year of strong top line growth, margin improvement and cash generation. These headline metrics highlight excellent progress towards our long-term financial goals,” Euan Sutherland, chief executive, commented. “We have sustained brand momentum despite the well-trailed wider market pressures, and continue to make good progress towards our margin target.”
The company’s core soft drinks brands—IRN-BRU, Rubicon, and Boost—all delivered strong performances. Rubicon stood out with another year of double-digit revenue growth, while IRN-BRU solidified its position as one of the top five carbonates in the UK. Boost, which shifted its strategy to focus on value over volume, saw a notable improvement in profitability in the second half of the year.
FUNKIN's ready-to-drink business also saw rapid growth, driven by increased retail distribution and innovative new products. This growth helped offset ongoing difficulties in the on-premise market, the company said.
Convenience channel focus
A.G. Barr also announced the successful completion of strategic projects to strengthen its convenience channel route to market and integrate the Boost business. These initiatives are expected to generate significant commercial and operational synergies, although they did incur a one-off cost of approximately £5 million in 2024/25.
The company continues to invest in its supply chain, with capital expenditure of around £19 million this year. This investment includes a new small format PET line and an upgraded large format PET line at its Cumbernauld site, boosting capacity and capabilities.
“We are committed to consistent long-term revenue growth and have confidence in further margin improvement as per our previous guidance,” Sutherland said, adding that the company’s outlook for 2025/26 is in line with market expectations – revenue growing to £439.4m; adjusted profit before tax at £65.0m and adjusted operating margin rising to 14.5 per cent.
The company will report full year results for 2024/25 year on 25 March.
Toms Group’s international growth brand, Anthon Berg, is strengthening its position through strategic partnerships with Pernod Ricard and Luxardo. These collaborations reflect shifting consumer preferences and support the brand’s ambition for continued growth.
In Autumn 2025, the portfolio will expand with two new international launches: the Luxardo Cherry Liqueur Bottle and the Kahlúa Praline.
The Baileys range and business, which have experienced impressive growth of over 400 percent in the past two years, stand as a success story. This strategy also forms the foundation for the launch of the new partnerships.
Anthon Berg offers the world’s widest selection of partner brands, collaborating with 20 different brands represented in over 300 airports globally. In Autumn 2025, the portfolio will expand with two exciting new international launches: the Luxardo Cherry Liqueur Bottle and the Kahlúa Praline.
“We are continuously working to strengthen and develop our partnerships. Two clear consumer trends show increased demand for stronger flavour experiences and ‘no- or low-alcohol’ products – which is why we are proud to present the new Kahlúa and Luxardo variants,” Jens Egelund Jakobsen, Head of International Marketing at Toms Group, says.
While the classic alcohol-filled liqueur bottles still remain a crucial part of the core business, the company has noted a growing consumer trend toward “low-alcohol” products and emerging markets lacking premium offerings.
“The cherry syrup harmonizes perfectly with the taste and complements the dark chocolate bottle beautifully. We see significant market potential, and we are not shy to say that the combination of Luxardo Maraschino and Anthon Berg’s dark chocolate is nothing short of a taste sensation,” Jens Egelund Jakobsen, further elaborating on the Kahlúa partnership, says and continues.
“Millennials are driving growth in specialty coffee shops in Western markets. By combining Kahlúa with chocolate, we tap directly into the global coffee trend and launch a product that captures the zeitgeist while opening up new market opportunities.”
Alcohol-filled liqueur bottles remain a core part of the business
Luxardo: An Italian brand with over 200 years of experience, one of Europe’s oldest producers of liqueurs and spirits based on Maraschino cherries.
Kahlúa: A Mexican coffee liqueur from 1936, a key ingredient in many classic cocktails such as the popular Expresso Martini.
Rainforest Alliance-certified cocoa is used in production.
Shock figures from the Office for National Statistics released this month reveal that transport and storage sector firms (the category which includes logistics, parcels, haulage and warehousing employers) have a cash crisis. The sector has the lowest cash reserves of any industry, including their manufacturing and retail partners.
The ONS’s Business Insights and Conditions Survey dataset, Wave 123, reveals that, compared to any other sector, more transport & storage companies have no cash reserves, says the home delivery company, Parcelhero.
Parcelhero’s Head of Consumer Research, David Jinks, a Member of the Chartered Institute of Logistics and Transport, says: "Companies were asked: 'How long do you expect your business's cash reserves will last?' Of those who responded who are listed as currently trading, a whopping 36.8 per cent of transport & storage firms say they have no cash reserves.
The position has worsened rapidly since the first time the question was posed in June 2020. At that time, of the transport and storage companies currently trading which responded, the number reporting they had no cash reserves was too small to register in the survey.
"The situation is even bleaker when we compare the transport and storage companies’ cash reserves with their partner firms in the manufacturing and retail sectors," Jinks continued. "Only 10.9 per cent of manufacturing companies currently trading report they have no reserves. Similarly, just 16.4 per cent of currently trading retail sector companies say they have no cash reserves.
"In fact, construction is the only business sector to have anything approaching a similar number of companies with no cash reserves. 25.5 per cent of construction firms reported that they are out of cash reserves. That’s still over 10 per cent fewer than the transport and storage sector.
‘Believe it or not, looking deeper into the figures, there’s even worse news. A further 12.4 per cent of transport and storage firms say they have less than a month of reserves left. In fact, only a meagre 12.9 per cent report they have more than six months of cash reserves. Compare that to June 2020, when a robust 25.4 per cent of transport and storage companies had more than six months of reserves.
Jinks said that the awfulness of the figures is highlighted by the fact that only 5.1 per cent of manufacturing companies say they have less than a month of reserves and a healthy 29.8 per cent say they have more than six months of cash. Among retailers, only 6.3 per cent say they have less than a month of cash reserves and 27.7 per cent have more than six months of cash reserves.
"Perhaps the most telling figures are those of the sector with the healthiest cash reserves. The information and communication sector reported only 7.2 per cent of currently trading companies have no reserves, just a further 1.8 per cent have less than a month’s reserves and a staggering 46.5 per cent of the sector have more than six months of cash reserves. That puts the cash issues facing the transport & storage sector into perspective.
Jinks concluded that it will be those transport and storage companies who are partnered with retailers with strong in-store and online sales that will perform best. Parcelhero’s “2030: Death of the High Street” report, which has been discussed in Parliament, reveals that retailers must develop an omnichannel approach, embracing both online and physical store sales."