Humza Yousaf urged to act on ‘chaotic and poorly designed’ DRS following election win

Humza Yousaf may have been officially elected as Scotland’s new First Minister, but as the country’s Deposit Return Scheme (DRS) looms, has he won over the hearts and minds of its drinks sector?

Yousaf has succeeded Nicola Sturgeon as leader of the SNP, and has become the country’s youngest first minister and first from a minority ethnic background. Scotland’s sixth first minister defeated rivals Kate Forbes and Ash Regan in the leadership contest. However, Yousaf’s real battle begins now, as he is tasked with winning over Scotland’s citizens and businesses.

Scotland’s DRS, due to come into effect in August, has caused continuous controversy, with some even calling the project a potential “high profile failure”.

The DRS will require consumers to pay an extra 20p (US$0.23) when buying drinks in cans and bottles, which will be refunded when the empty containers are returned for recycling. The aim of the DRS is to reduce littering and encourage recycling, and the Scottish Government aims to achieve a 90% collection rate for materials in scope by 2025.

However, facing backlash from the industry, the three leadership candidates each pledged they would either delay, scrap or reduce the scale of the DRS. Speaking on BBC One’s Sunday with Laura Kuenssberg on February 26, Yousaf said: “I’ve listened to business and I’ve heard from small businesses in particular.

“If I’m elected First Minister then I will exclude small businesses for the first year of operation of that scheme.

“Because it’s not the craft breweries, or craft gin makers, that are the ones causing the issues. It’s the big producers that are the ones that we should be targeting.”

Now at the helm of the SNP, Yousaf is being asked to stick to his word.

Leon Thompson, UKHospitality Scotland chief executive, told db: “I’d like to congratulate Humza Yousaf on his election as leader of the SNP and I look forward to working with him to ensure a positive future for Scottish hospitality.”

However, Thompson also flagged the pressures which need to be immediately addressed. “With enormous inflation across energy, food and drink costs and the looming prospect of a chaotic and poorly designed Deposit Return Scheme significantly hampering our venues ability to succeed and grow, I would urge Mr Yousaf to reset his party’s relationship with the business community and properly engage with Scottish hospitality,” he said.

Indeed, despite the new First Minister’s vow to exclude small producers from the DRS for the first year, MSPLorna Slater, minister for green skills, yesterday insisted she wanted small businesses to be part of the scheme, and raised possible problems over their exclusion.

Commenting on the outcome of the SNP leadership elections, Mark Kent, chief executive of the Scotch Whisky Association, said: “The Scotch Whisky industry congratulates Humza Yousaf on his successful election as SNP Leader. We look forward to continuing our work with the Scottish government on the priorities and challenges of the industry in line with our sustainability ambitions and the government’s National Strategy for Economic Transformation, to ensure that Scotch Whisky has a strong economy at home to support its growth and investment throughout Scotland, the UK and across the globe.”

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