The UK Government has announced it will publish a new UK Circular Economy Strategy later this year. This signals a pivotal shift in policy aimed at embedding circularity into national and business sustainability strategies. With mounting pressure to reduce waste, conserve resources, and cut emissions, the new strategy is expected to provide the clarity and confidence businesses need to innovate, invest, and future-proof their operations.
A long-awaited policy shift
Environment Secretary Steve Reed confirmed the autumn release of the new strategy. The strategy will build on recommendations from the newly established Circular Economy Taskforce, chaired by former Ellen MacArthur Foundation CEO Andrew Morlet.
Comprised of experts in material innovation and waste management, the Taskforce has identified six high-impact sectors to prioritise: textiles, transport, construction, agri-food, chemicals, and plastics.
Each sector will receive a tailored roadmap, co-developed with businesses, to reform materials use and reduce environmental and economic waste. These plans are intended to complement the overarching UK Circular Economy Strategy, offering sector-specific support while promoting systemic change.
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Why now?
The announcement comes amid sobering statistics: less than 60 percent of waste electricals are recycled, over 80 percent of plastic products still rely on virgin materials, and household recycling rates have stalled for more than a decade.
Perhaps most alarmingly, UK landfill sites now cover an area nearly the size of Greater London. Reed noted the urgency, highlighting the estimated £22 billion in edible food, £4.5 billion in clothes, and £2.5 billion in usable furniture wasted each year.
By shifting from the entrenched “take-make-waste” model to a circular system, the UK aims to reduce its ecological footprint and enhance economic resilience, particularly in the face of global trade shocks and raw material scarcity.
The new strategy is set to expand upon the 2018 Resources and Waste Strategy (RWS), which introduced proposals such as consistent recycling schemes, food waste collections, and a UK-wide deposit return system. Many of these initiatives were delayed due to the pandemic and political instability.
This renewed strategy will address those gaps while providing a stable policy framework for businesses. According to the Government, this stability will give companies “the certainty to plan and the confidence to build and invest in new infrastructure.”
Final thoughts – A defining moment for UK circularity
The UK Circular Economy Strategy represents a major opportunity for business and Government alike to align economic activity with environmental imperatives. While past delays have fuelled scepticism, this strategy, if backed by strong legislation and implementation, could drive innovation, unlock green jobs, and significantly reduce waste and emissions.
For businesses, especially those in high-impact sectors, now is the time to engage, prepare, and act. Circularity is no longer a fringe concern; it is quickly becoming a cornerstone of competitiveness, resilience, and compliance in a resource-constrained world. To ensure your organisation is ready to align with emerging circular economy policies, explore our sustainability training courses UK designed to build practical skills across teams and embed sustainability at every level of the business.