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Do you think it's feasible to hang the joists from the retaining wall then? That was my other idea, although damp ingress into the joists could be an issue, DPM behind the hangers might be enough to solve that?Otherwise it's retaining wall and posts inside, which will be a big old foundation but probably ok. The deck boards will be composite so I don't think damp should be an issue for them.
In a word 'no', neither will a thick plastic membrane before you ask. What you need is a few bricks mortared together, otherwise known as a wall... If it is retaining the raised bed nobody will be able to see how shit (or good) your brickwork is. Brick is cheaper and better than sleepers, which also rot. A gap of 1cm to the decking is plenty.