Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, what assessment she has made with the the Chancellor of the Exchequer, of the potential merits of allowing unredeemed deposits within the Deposit Return Scheme to be retained by the Deposit Management Organisation to fund (a) infrastructure and (b) consumer engagement.

The Government is committed to ensuring that the deposit return schemes operate effectively and that VAT is not a barrier on industry or UK DMO. VAT is a decision for HMRC Ministers. Defra continue to work with HMRC and will set out more detail regarding VAT treatment within DRS in due course.