Much-awaited DMO appointed for Wales’ Deposit Return Scheme

By Oliver Catchpole

Published: 21 August, 2026

The Welsh government has announced the appointment of Exchange for Change as the Deposit Management Organisation (DMO) for its Deposit Return Scheme (DRS), which launches in October 2027.

Exchange for Change is the same organisation in charge of overseeing the rest of the UK’s DRS.

The Welsh scheme will include plastic (PET), metal and glass drinks containers from day one, although a four-year transition period will apply to glass.

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During this time, these glass containers will be exempt from labelling requirements and carry a zero pence deposit.

Commenting on the appointment, cabinet minister for rural resilience and sustainability, Llŷr Gruffydd MS, said: “The appointment follows a robust process to identify a DMO which will support the establishment of the scheme and work in partnership with producers, retailers, local authorities and other partners to successfully implement the DRS in Wales.

“By applying a deposit which is redeemed when drinks containers are returned, the scheme will tackle litter whilst supporting the collection of high-quality recycled materials. In turn, the DRS will help provide a pathway towards the roll-out of reuseable drinks containers in Wales.”

The announcement comes after long-running controversy about the Welsh scheme, which has focused on its inclusion of glass – which the rest of Britain does not.

Just this week, the Society of Independent Brewers and Associates (SIBA) called on the government to delay the implementation of its DRS after what it called a ‘shocking lack of details’, as Harpers reported.

The organisation criticised the lack of a DMO for Wales, along with the need for greater guidance on how the two systems will work together.

If not, it warned of a “Scottish-style meltdown” of DRS – a similar Scottish scheme collapsed in 2023, after refusing to exclude glass from its remit.

Due to this, Westminster would not allow the scheme to go ahead, and the firm responsible for running it went into administration with over £86 million in debt.

Wales has been allowed to include glass in the scheme, but the WSTA has previously warned that having two separate schemes will be both costly and ineffective.

As the Welsh government is currently in recess over the Summer, an Oral Statement on the matter is timetabled for an early-Autumn Senedd Plenary session.

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