The industry-led organisation said the measures, agreed with regulators in England, Scotland and Northern Ireland, are intended to help retailers determine the most appropriate way to participate in the scheme, whether by hosting a return point or applying for an exemption.
Under DRS regulations, retailers in urban areas with a retail footprint of less than 100m² are automatically exempt from operating a return point for eligible drinks containers.
Exchange for Change has now confirmed that retailers with a sales area of between 100m² and 199m² in urban settings, as well as rural retailers with less than 200m² of sales area, will be able to apply for size-based exemptions.
Additional exemptions have also been agreed on the basis of proximity to another return point, heritage or listed building restrictions, site access constraints and a lack of access to utilities.
Russell Davies, Chief Executive of Exchange for Change, commented: “Retailers will play a fundamental role in transforming how we increase recycling and reduce litter in every corner of the UK through the Deposit Return Scheme.
“This package of support has been developed following extensive consultation with industry and intended to help retailers of different sizes make the best choice for their business, whether that’s installing an RVM or applying for an exemption.”
£60m grant funding for RVM installation
Alongside the exemptions package, Exchange for Change has confirmed that £60 million in grant funding will be made available to support the installation of reverse vending machines (RVMs) in smaller stores.
The funding is expected to support up to 10,000 small, independent retailers across England, Scotland and Northern Ireland.
Qualifying retailers will be eligible for grants of £6,000 per site, paid in three annual instalments of £2,000.
Exchange for Change said the payments will be made three months after the installation of an RVM.
The grants are intended to help retailers meet the upfront costs associated with installing reverse vending machines and will be provided in addition to the Return Handling Fee (RHF).
Return Handling Fee for DRS
Last week (2 June 0226), Exchange for Change announced that through the RHF, manual return points will receive a fee of 3p per container returned.
For retailers operating reverse vending machines (RVMs), the RHF will be paid on a tiered basis.
Automatic return points will receive 5p per container for up to 225,000 eligible containers returned annually, with a fee of 1.3p per container applying to volumes above that threshold.
The fee is intended to cover the costs associated with operating a return point, including the purchase of collection equipment, storage of returned containers, staff training and the use of retail floor space once the scheme launches in England, Scotland and Northern Ireland in October 2027.
Davies added: “Together with the Return Handling Fee, the extension to exemptions and the provision of grants for small, independent retailers is another significant milestone in our work to deliver a scheme that is fair for business and accessible and easy to use for all consumers.”
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