Briefing

How the circular economy creates growth and investment

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Date:

22 January, 2026

Summary

As England prepares to publish its Circular Economy Growth Plan, the shift from a linear ‘take-make-waste’ model to one that keeps resources in circulation presents significant economic opportunities. New analysis suggests that moving toward circularity could deliver substantial GDP growth, create hundreds of thousands of jobs and reduce the UK’s vulnerability to supply chain disruptions and resource scarcity.

In this briefing we examine the economic case for the circular economy, exploring how the UK’s heavy reliance on imported materials creates both risks and opportunities for transformation. We outline the potential for productivity gains, the advantages of building on the UK’s service-based economy and the policy changes needed to level the playing field for circular businesses. The briefing concludes with five key tests to assess whether England’s forthcoming strategy will successfully unlock private investment and deliver long-term resilience.

This briefing was produced as part of our work programme for our Circular Economy Task Force

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