UK ministers are preparing to announce their decision on Scotland’s deposit return scheme.
Scottish ministers are seeking an exemption from internal market rules to allow the scheme to start next March.
The BBC reports that it understands the UK government is likely to issue a conditional agreement that could permit Scotland to pilot a UK-wide scheme.
Scotland’s First Minister, Humza Yousaf says he does not know if the scheme will still be viable.
UK ministers are expected to require glass to be excluded from the scheme which was a key part of Scottish proposals.
Other conditions are likely to include standardising the deposit charge, bar codes, and labelling across the UK.
It is thought the UK government will also insist on a reciprocal membership system so that businesses that join anywhere in the UK are automatically signed up across the UK.
The deposit return scheme, aimed at increasing the number of single-use drinks bottles and cans that are recycled, was due to begin in August.
It will now come into effect in March next year.