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FED NEWS
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Scotland
Fed demands clarity on DRS implementation
by Helena Drakakis
editorial@newtrade.co.uk
The Fed in Scotland has called on the Scottish government to end confusion over its upcoming DRS scheme and improve communication to retailers so they can plan ahead of its introduction.
In a meeting with minister for green skills, circular economy and biodiversity Lorna Slater, the Fed’s Scottish executive member, Ferhan Ashiq, said: “We are only months away from implementation of the scheme.
“It isn’t clear what is happening, and it takes time for shops to prepare. Retailers need better communication.”
The scheme, which enables customers to return aluminium cans, plastic bottles and glass bottles to shops, is due to be introduced in August 2023.
Retailers operating a manual scheme will receive a 2.69p handling fee, while those running a reverse vending machine will earn 3.55p for the first 8,000 items returned each week.
The Fed was one of the few retail groups to publicly endorse the planned deposit return schemes.
However, many retailers say poor communication to date means they are still unsure about how the scheme will work in their stores.
Aleem Farooqi, president of the Fed’s Scotland district, said: “The Fed has been a long-term supporter of the scheme, but members are uncertain how it will operate and what their responsibilities may be.”
Ashiq also highlighted the need for retailers to plan ahead given the current pressures many are facing over rising energy and operating costs, leaving them uncertain about whether it is affordable.
He said: “With the cost-of-living crisis, the DRS is not foremost in our members’ minds and they are worried about the cost of changing their shops to make space for the bottles and cans or the space and cost required for leased machines to compact the containers.”
Slater agreed to take immediate action to explore ways of ensuring a better understanding of plans.
She also welcomed the Fed’s invitation to produce clear guidance for stores.
She also confirmed that a simpler process to apply for an exemption had been put in place, and said retailers concerned about finding space to store returned bottles and cans can negotiate with scheme administrator Circularity Scotland Limited (CSL) about how often returns are picked up from individual shops.
Last month, CSL announced a softening of the exemption criteria if a store’s footprint is 100m2, or smaller than 280m2 for food-to-go premises.
Stores will also be considered for exemption if the scheme breaches other legislation, such as environmental health, food or fire safety.
Wales
Birks joins call for rates freeze
The Fed’s national president, Jason Birks, has joined 15 leading business representatives to call for a freeze to business rates ahead of the Welsh government’s budget on December 13.
The collective call comes as the government prepares to set rates and relief schemes for the 2023-24 financial year.
In the letter, signatories have urged the government not to increase the multiplier rate.
It read: “After two turbulent years of the pandemic, the fact is, trading conditions remain challenging, the cost of doing business is spiralling, and the near-term economic outlook is weak.
“Given the decision taken in the UK Autumn Statement, we ask that, at the very least, Welsh ministers follow suit and similarly freeze the headline business rate multiplier in the coming financial year.”
The Welsh businessrate multiplier is currently at a 23-year high, which is higher than anywhere else in the UK.
In England, the Chancellor of the Exchequer confirmed in his autumn statement last month that the business rates would not increase next April.
The letter, which was submitted to Welsh government finance minister Rebecca Evans, added: “We collectively believe this practical measure will be a positive step applicable to all commercial premises and help ease the burden at this difficult time.”
Scotland
Free anti- crime help
The Scottish Business Resilience Centre is offering a free crime prevention survey to Fed members to offer advice on protecting their stores.
The survey is open to members who are facing problems of shoplifting, damage or antisocial behaviour and also to check that security measures are adequate to protect them.
Carole Wyllie, police constable and business resilience advisor, said: “The survey involves a walk round with the staff from the approach of the store, and a walk around the perimeter down to the store interior. We highlight areas of vulnerability and suggest remedies. The survey is free, but any alterations or amendments would be carried out at a cost to the individual.”
Any member wanting to arrange a survey should email carole.wyllie@ sbrscentre.co.uk.
Head office
1,000 new Fed members
The Fed has recruited 1,000 members, ahead of its end-of-year target, it has announced.
‘Operation 1,000’ involved the trade body’s operations team and Contact Centre calling stores, attending retail and wholesaler events and visiting existing members.
The Fed’s head of field operations, Phil Jaggard, said: “I’m very proud of the of the team. It’s great to reach this milestone before the end of 2022 and the team is working towards new targets to help more independent retailers.”
