The business case for circularity in a volatile world
30 April 2026
Max Goodliffe explores why the circular economy is more important than ever, and why organisations don’t need to wait to start embedding circular thinking into decisions being made today.
The benefits of a circular economy are becoming increasingly well understood. As awareness grows, more organisations are putting circular economy principles into practice. We are seeing this through the design of more circular products, efforts to extend product lifetimes, and new approaches that enable the re-circulation of products, components and materials at end-of-life.
A pivotal year for the circular economy
This year is shaping up to be an exciting year for the circular economy. The long-anticipated Circular Economy Strategy for England is expected to be published, providing much needed direction for the years ahead. The strategy will outline action roadmaps for sectors including textiles, transport, construction, agri-food, chemicals and plastics. Each roadmap will set out priority actions and policy recommendations to boost circularity across these sectors.
The strategy could not arrive at a more critical moment. Organisations are operating in an increasingly volatile environment, with high energy prices, rising material costs, and growing risks to energy and material security. Many sectors are grappling with fragmented and vulnerable supply chains, while expectations from investors and clients around sustainable outcomes continue to rise. Recent analysis highlights this shift, showing that a third of UK investors would now accept lower financial returns in order to invest more sustainably or ethically.
From environmental ambition to business opportunity
In this context, the circular economy is no longer just an environmental ambition. It is a clear strategic opportunity. For organisations of all sizes, adopting circular practices can unlock tangible, measurable benefits, including:
- Reduced material costs through improved re-use and refurbishment of materials and components.
- Greater resilience to price volatility by reducing reliance on virgin materials and overseas supply chains.
- Stronger environmental, social and governance (ESG) credentials through improved performance and reporting, boosting investor and client confidence and providing resilience to future regulatory compliance requirements.
- New revenue streams and competitive advantage through the development of circular products and services.
Reimagining ownership: the rise of PaaS
An aspect of the circular economy that really excites me is its potential to completely re-invent how we use products, especially everyday items. A great example is the shift away from traditional ownership models to service-based approaches, often referred to as products-as-a-service or PaaS. Under these models, people and organisations can rent or lease products such as jeans, carpets, washing machines and even lighting.
With benefits such as reduced capital expenditure for users and extended product lifetimes, we’re likely to see more organisations adopt PaaS within their business models. This, in turn, will drive more circular design initiatives. As manufacturers retain ownership of the products, they are incentivised to design durable, repairable products from which materials can be recovered easily; maximising the utility and lifespan of the products they own. Simply put, it is a win-win-win. So, what’s next?
Taking the next step in your circular journey
While we wait for the Circular Economy Strategy for England to provide greater certainty on the future policy landscape, there is already a strong business case for action. Organisations can get ahead of the curve and start embedding circularity into their operations and decision-making.
Supporting organisations through this transition is a core part of what we do. I have recently become a certified Circular Economy Specialist through the Circular Economy Institute, further strengthening our ability to assess organisational needs and identify practical and achievable circular solutions. This work is aligned with internationally recognised standards and focused on helping organisations move from ambition to action.
At Resource Futures, our experience shows that every client is at a different stage of their circular journey. While each organisation’s needs are specific to them, we have developed a six-stage approach that works at any point along the journey. The principles and key steps align with ISO 59000 – and the former BS8001 – providing a consistent and credible foundation.
We use this overarching framework to give organisations confidence that their circular economy strategies are built on globally recognised principles and provide a robust framework for implementation, while reflecting the uniqueness of their sector, structure, scale and operations.
Let’s talk circularity
If this sounds relevant to your organisation, whether you are just starting out on your circular journey or you are already taking action and looking to go further, we can help.
Get in touch with our Circular Economy experts to start the conversation. We would love to hear from you.
