Deposit return scheme Scotland: MSP Fergus Ewing demands SNP holds inquiry into DRS ‘almighty mess’

Climate action minister Gillian Martin, who has been handed responsibility for the key recycling policy after Greens co-leader Lorna Slater was sacked from the the Scottish Government, refused to comment on reports Biffa was considering suing her administration for a return of its £55 million, but also compensation for lost profits. Ms Martin also refused to say whether if legal action proceeded, the Scottish Government would sue UK ministers who it blames for wrecking the policy.

Businesses invested millions of pounds in infrastructure and planning ahead of the proposed deposit return scheme being rolled out. But the policy will now not begin until at least 2027 after a UK-wide initiative was delayed by two years by Conservative ministers.

Ms Martin told MSPs she “cannot comment on ongoing litigation”, but warned “the Scottish Government remains committed to the delivery of a deposit return system to realise environmental and economic benefits that will bring”. She said: “We will continue to engage with industry and other nations across the UK to support the delivery of a DRS in 2027.”

Mr Ewing had been a stern critic of Ms Slater’s time in charge of the scheme and was suspended by the SNP after backing a motion of no confidence in the Green co-leader in June last year. Mr Ewing has now called for a public inquiry into the deposit return scheme.

He said: “The minister will be aware the taxpayers have lost £9m form the Scottish National Investment Bank loan that will be a total write-off. Businesses may have incurred a cost possibly up to £300m.”

Mr Ewing called on Ms Martin to “consider holding an independent inquiry not just into what went so very badly wrong, but also to avoid these mistakes should there be some scheme in the future”.

But Ms Martin declined to respond to her party colleague’s request. Instead, the minister insisted the Scottish Government “did follow the agreed process in securing an exclusion form the UK Internal Market Act, engaging with the UK and devolved governments throughout the relevant common frameworks for two years”.

She said: “UK ministers have acknowledged that the Scottish Government followed the agreed process at all times. We will be looking at how we take the DRS forward that is workable, that is within that whole common framework of how something could be simplified and rolled out across the UK.”

Mr Ewing warned “defects in the previous scheme and in any future scheme are so serious and so obvious that it may not be possible to fix them”.

He asked “in the spirit of goodwill” and “the possibility of a fresh start”, given “there has been an almighty mess” made with the DRS, for Ms Martin to meet with him and key businesses to explain “their profound concerns” so that SNP ministers “avoid the disastrous mistakes” of the policy. Ms Martin said she would happily meet Mr Ewing and businesses to discuss any concerns.