Scottish Gov asked to repay small firms after drinks recycling scheme collapse

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The Scottish Government is being urged to help small businesses owed thousands of pounds after the collapse of a drinks recycling firm.

It is the first time Holyrood ministers are being challenged to pay some of the debts owed by Circularity Scotland (CSL) after it went bust with debts of £86m.




The firm went into administration last month after ministers put a two year delay on their controversial deposit return scheme (DRS), which it was set up to run.

Small firms owed cash by the failed company have called for ministers to set aside a fund to repay them with experts previously suggesting larger corporations could launch legal action against ministers to try and recoup more than £80m they are owed.

Chris Watt, a freelance photographer from Edinburgh, is owed £960 from CSL for promotional work and said: “People did things in good faith for this company which was essentially backed by the government and only existed to operate a government initiative.

Chris Watt, a self-employed photographer, is owed almost £1000.

“Margins are tight and with the cost of living going up it has a big impact on small businesses. Now I’ve got basically no chance of seeing this money.

“I think the Scottish government should be showing some decency by setting money aside to at least pay back the small Scottish businesses who have lost out. There has to be some accountability for this.”

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