A major new report from WRAP (Waste and Resources Action Programme) has found that the UK circular economy is already a significant driver of employment and economic output — and that its potential, if properly supported, could grow dramatically by 2035.
The report, titled Powering Good Growth – The Circular Economy Opportunity for Jobs, Manufacturing and Every Region of the UK, makes the case that circular economy activities — including repair, remanufacturing, reuse, recycling and biorefining — can help spread economic opportunity across the country, strengthen local supply chains and attract investment into communities undergoing industrial transition.
A Substantial Economic Base Already in Place
In 2024, the UK circular economy supported almost 559,000 jobs and generated more than £53 billion in Gross Value Added (GVA). WRAP’s latest findings update its earlier 2019 assessment and demonstrate that circular economy jobs and economic contributions have continued to build a meaningful foundation within the broader national economy.
The report underlines that circular economy activities support domestic resource flows and contribute to economic resilience — factors that hold particular relevance as supply chain vulnerabilities and resource dependency remain pressing concerns for UK industry and policy.
Three Scenarios for Growth by 2035
WRAP’s modelling outlines three distinct scenarios for how the UK could advance its circular economy ambitions over the next decade, each with significantly different outcomes.
Under a modest Incremental Progress pathway, the circular economy could unlock nearly £4 billion of additional economic value and support around 36,000 additional circular economy jobs across the UK by 2035.
An Accelerated Adoption of circular business models across the economy could generate more than £35 billion in additional GVA — a considerably more substantial outcome reflecting broader sectoral engagement.
The most ambitious scenario — a full Circular Economy Transformation — could yield more than £93 billion in additional GVA and support a further 550,000 jobs, bringing the total UK circular economy workforce to over one million. This transformational shift could also add 37 percentage points to the UK’s recycling rate and increase remanufacturing activity by 50%.
WRAP CEO Calls for Long-Term Policy Commitment
Catherine David, CEO of WRAP, highlighted the importance of creating the right enabling environment for the sector to grow. “By creating the right long-term policy and investment environment, we can support key sectors to grow, with new jobs in repair, reuse and remanufacturing,” she said. “Not only will these actions create economic growth, they will strengthen the UK’s resilience, making our businesses and institutions less reliant on imported resources, as well as making positive contributions to people’s living standards.”
She added: “If we embed circularity into the UK’s growth agenda, the benefits will be felt for generations.”
Key Recommendations for Government and Business
To accelerate the expansion of the UK circular economy, WRAP has set out a series of recommendations directed at both government and industry.
Build on Devolved Nation Experience
WRAP recommends drawing on lessons from Scotland, Wales and Northern Ireland to inform the delivery of a Circular Economy Growth Plan for England. The UK Government’s existing commitment to such a plan is described as key to ensuring benefits are delivered equitably across English regions.
Embed Circular Economy Within Industrial Policy
The report argues that the circular economy should be recognised primarily as an economic opportunity — one that leads to environmental outcomes — rather than as an environmental policy objective alone. Embedding circular economy objectives within industrial and economic policy frameworks would reflect this framing.
Strengthen Support for Repair, Refurbishment and Reuse
Repair and reuse are described as sitting at the heart of circular economy ambitions, given their capacity to keep products in use for longer and retain more embedded value within the economy. WRAP calls for stronger policy and financial support for these activities.
Improve Measurement and Reporting
The report also calls for improved measurement and reporting of circular economy activity, particularly in areas that are difficult to capture under existing economic classifications — including remanufacturing and emerging circular business models. Better data would help governments and businesses track progress and identify where further support is needed.
Regional Opportunity Across the UK
A central theme of the WRAP report is the potential for circular economy jobs and investment to reach communities across all regions of the UK — not just established economic centres. The report positions circular activities as a means of supporting areas undergoing industrial transition, bringing new employment opportunities to places where traditional industries have declined.
The combination of economic growth, job creation and reduced dependence on imported resources makes the WRAP report’s case that the circular economy is not simply an environmental agenda — it is an economic one, with measurable benefits for workers, businesses and local communities across the country.
