Hungary’s bottle-recycling system could be facing a major change, with cash payments for returned bottles and cans potentially abolished at REpont collection points.

Cash could soon disappear from Hungary’s bottle recycling scheme

MOHU, the company responsible for Hungary’s deposit-return system (DRS), is proposing that the government remove the option of receiving the 50-forint deposit in cash. Instead, consumers would be able to use a voucher for shopping or have the money transferred to their bank account through the REpont app. Donations to charity would also remain available.

The proposal comes amid growing concerns in Budapest about people collecting returnable bottles from bins and the associated problems of litter, damaged rubbish bins and public safety. Also, several claims have arised that many of those spend the money from collecting and recycling these bottles on drugs.

MOHU proposes ending cash payments

Csaba Bozóki, MOHU’s director responsible for the deposit-return system, announced the proposal in a Facebook video, arguing that cash is not necessary for the system. Under the current rules, a voucher issued by a reverse vending machine can be redeemed for cash at the relevant shop. Changing this would require an amendment to the government regulation governing the scheme.

According to reports, MOHU has already discussed the proposal with representatives of Budapest and its districts. A joint proposal from MOHU, the capital and district municipalities could eventually be submitted to the government.

Bottle collecting and recycling has become a problem in Budapest

Since the HUF 50 deposit was introduced in 2024, the system has dramatically increased the collection and recycling of drinks packaging. However, it has also created a new phenomenon in Budapest, where people search through rubbish bins for returnable bottles and cans. Several district mayors say this has contributed to litter being left around bins, containers being damaged or overturned, and additional pressure on local cleaning services.

Terézváros (District VI of Budapest) Mayor Tamás Soproni previously called for the recycling system to be temporarily suspended until the problems could be addressed. The government rejected that idea, while MOHU has stressed that the deposit-return system is required by EU rules and cannot simply be abolished, as HVG.hu reported.

MOHU: The system did not create the underlying problems

Bozóki has argued that homelessness, drug addiction and deep poverty in central Budapest are not new problems caused by bottle returns.

“These are very important social problems that we need to talk about,” he said, while stressing that a solution should involve local authorities, social organisations and the authorities. Supporters of removing cash payments nevertheless believe the measure could reduce the incentive to collect bottles from bins for immediate cash.

Who could be affected?

Critics warn that eliminating cash would make the system less accessible for some people. Those without a bank account or smartphone, or those who simply want their HUF 50 deposit returned in cash, could face additional difficulties. The proposal would therefore change how people receive their own deposits without addressing the wider issues of homelessness, poverty or drug use.

The government now faces a choice over whether to amend the rules. If the proposal goes ahead, cash could soon disappear from Hungary’s REpont system, leaving shoppers with vouchers, bank transfers or charitable donations as the main alternatives.