Waste firm carried forward the government to sue

A judge has ruled that a legal claim of £ 166M against the Scottish government on the unsuccessful deposits withdrawal scheme may proceed.

After a dispute with the UK government, ministers effectively abandoned the schemes for the Scotland-specific bottle withdrawal initiative in June 2023.

Bifa West Services, which was hired to collect recycled containers, argued in the session court that the ministers assured that the plan would proceed – and lost when it was canceled.

The ministers denied the firm’s arguments and said that the case should be dropped from the court.

BIFA, which is demanding up to £ 166.2m, says the government disturbed a duty of care and was negligent when it was claimed that the scheme was viable.

In a written statement, Lord Clarke said that the minister was unable to convince him that the arguments of BIFA “do not reveal the circumstances that give rise to the duty of care”.

The judge also dismissed an argument of the ministers that even though the court admitted that they were negligent and it was the duty of care, the case should be thrown out because the case of BIFA should be “irrelevant” for legal arguments. Was.

He said that the waste firm would have to convince the court to convince the court that it was a duty of care that it was dissolved and it caused financial loss.

BIFA has to prove that the firm trusted a written assurance given by former Green Minister Lorna Slater about the viability of the plan, and this caused financial loss.

Lord Clarke stated that “questions remain” about the costs paid by BIFA, and the amount of future profits was lost.

The judge said that now there should be a complete hearing to examine arguments in more detail.

BIFA’s financial claims include an non-profit company funded by the beverage industry, an estimated profit on a 10-year contract with a spherical Scotland, approximately £ 115m, which was to manage the plan.

When the initiative was postponed, it collapsed with loans and liabilities of more than £ 86m.

BIFA is also looking for £ 50m, stating that it has been spent in preparation for the plan – including purchasing vehicle and expert equipment, leasing the vehicle depot, taking processing sites and additional employees.

After the election of Jama Return Scheme 2021, Holiroad had a major ambition of former SNP-Green administration.

Under the schemes, 20p deposits were added to all single-use drinks containers made of pet plastic, metal or glass. Consumers can recover the deposits by returning the containers by returning retrievable vending machines or specially designed reverse vending machines.

It was introduced in August 2023, but the launch date was pushed back, the then first minister Humza Yusuf said citing concerns from businesses.

Orthodox ministers in Westminster refused to give the plan, until it except the glass to correspond to the British-wide approach, another stumble block came.

In June 2023, Slater said that he had no choice but to delay the scheme by at least October 2025, accusing the UK government of sabotage. He left the government last year Green-SNP power-sharing agreement collapse,

Scotland is not expected to gather by October 2027, when the UK government has targeted to launch its version of the scheme, except glass.

Holyrud ministers are expected to align their return plan to match the version of the Westminster, although Wales has taken out of the UK-wide approach as it wants to include the glass.

After the independence of the information request, the Scottish government revealed earlier this month that it had spent £ 168,000 on the legal fees related to the case brought by BIFA.

A spokesman said that it could not comment on live litigation.