The Scottish government is grappling with significant political and legal repercussions following the troubled rollout of its bottle return scheme. As the initiative faces delays and setbacks, a waste management firm has initiated a lawsuit against the government for nearly £170 million, claiming that government negligence contributed to the collapse of the ambitious recycling plans.
Biffa Waste Services, one of Circularity Scotland’s primary creditors, argues that Scottish ministers misrepresented the viability of the scheme. The firm contends that it was assured by former Green minister Lorna Slater—who has since departed from her role—that the program would proceed as planned. Biffa’s legal team cites a letter from Slater in May 2022, which they believe reinforced governmental commitment to the initiative.
Biffa asserts it entered into a contract with Circularity Scotland based on these assurances, believing that all necessary steps had been taken to ensure successful implementation.
However, government lawyers counter that Biffa was aware of potential risks and challenges associated with the scheme. They argue that the assurances provided were not unique or groundbreaking.
The legal proceedings will unfold over two days in Edinburgh’s Court of Session, where a ruling could have far-reaching financial implications for both Biffa and the Scottish government. A favorable outcome for Biffa could lead to substantial reparations, including about £115 million in projected profits and reimbursement for approximately £50 million spent on preparations such as equipment acquisition and staffing.
The bottle return scheme is part of a broader effort across many countries to encourage recycling of single-use drinks containers. Under the government’s original plan, consumers would pay an additional 20p deposit on PET plastic, metal, or glass containers, which they could reclaim upon returning them to retailers or designated vending machines.
In light of ongoing delays—including a recent two-year postponement until October 2027—Scottish ministers have been collaborating with their UK counterparts on a unified approach to recycling initiatives. Slater has attributed some of these challenges to alleged sabotage by Conservative ministers.
Despite these setbacks, the Scottish Investment Bank reported an £8 million loss connected to Circularity Scotland earlier this year. This situation has led to criticism from within the SNP party regarding missteps during an election campaign focused on pressing issues like cost-of-living crises.
As Scotland navigates these legal and operational hurdles, the future of its recycling ambitions remains uncertain but critical for both environmental sustainability and economic health.
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