Circulating Value: Maximising UK's Economic Potential Through a Circular Economy

Sam Coggin • August 5, 2023

The Circular Economy in the UK: Potential Benefits and Key Challenges

For more than a decade, the Green Alliance and various business partners have been accumulating a wealth of evidence highlighting the importance of a circular economy. A circular economy offers a myriad of solutions to several problems faced by the UK, from environmental risks to economic challenges.


Traditionally, our economy has operated in a linear 'take, make, use and throw' fashion. Materials are extracted, goods are produced, sold, used, and eventually discarded, often after a very short lifespan. However, a circular economy could revolutionise this trajectory. In a circular economy, materials and products are kept in use for as long as possible through reuse, repair, remanufacturing, and recycling, preserving their highest value. This model reduces raw material consumption and mitigates the negative impact associated with waste generation.


A circular economy provides immense benefits. It lowers climate and environmental risks by reducing carbon emissions and minimises impacts on biodiversity, water, and air pollution. It also builds business resilience by reducing reliance on raw materials, three quarters of which are supplied from abroad.


Perhaps more significantly, it holds substantial potential for economic growth. Studies suggest that adopting a more circular economy could lead to significant growth in the UK, potentially increasing GDP by nearly one per cent by 2035 and contributing as much as £82 billion in gross value added by 2030. Additionally, it could support over 470,000 jobs across the country, particularly in sectors projected to face high rates of unemployment by 2035.


Moreover, a circular economy could help us wrestle control over material flows and prevent value from being lost, a priority already identified within the critical minerals supply chain, which faces numerous geopolitical challenges.


However, to realise this potential, government intervention is vital. It is recommended that the government prioritise a circular economy, integrating it as a crucial aspect of its industrial policy, and that the Treasury spearhead this change, given its role in coordinating government policy and overseeing tax and spending responsibilities.


To move circular business models from the fringes to the mainstream, government support is crucial. For instance, levelling the playing field between circular and linear businesses, offering financial assistance through a dedicated fund to support circular businesses facing high upfront costs, and improving understanding of tax impacts to meet environmental goals can all aid in making the shift.


Notable examples of businesses making strides towards a circular model include John Lewis, which operates several circular initiatives including furniture rental and circular design training, and IKEA, which offers a buy back and resell programme for old furniture, along with free small spare parts to extend product lifetimes.


However, transitioning to a circular economy is not without its challenges. One of the main barriers is the market preference for cheap, poor quality, easily accessible goods, which often come with substantial environmental costs not reflected in their price.


Which brings us to the topic of office furniture. It may seem a small detail in the grand scheme of a circular economy, but it exemplifies how circularity can benefit businesses and consumers alike. A desk or an office chair has a far longer potential lifespan than the time it spends in any one office. By creating a market for high-quality, reusable office furniture, businesses can reduce their environmental footprint, save money, and foster a sustainable approach to resource consumption. This is just one of the many ways in which the principles of the circular economy can be put into practice in everyday business operations.


The circular economy presents an exciting opportunity to enhance the UK’s economic resilience, reduce environmental impact, and create new jobs. However, it will take concerted effort from businesses, consumers, and the government to realise its full potential. Through the implementation of policies that promote circular business models, and the support of businesses taking the leap towards such models, the UK could significantly advance towards a sustainable and prosperous future.


Key Insights:


  1. Economic Potential: The circular economy represents a significant opportunity for economic growth. Estimates suggest it could boost the UK's gross value added by £82 billion by 2030, increasing GDP and creating numerous skilled jobs.
  2. Environmental Benefits: Adoption of circular practices would lead to reduced raw material consumption, waste prevention, and lowered environmental impacts related to production.
  3. Social Benefits: Increased affordability, community engagement, and job creation are critical social benefits linked with circular practices like resale and repair.
  4. Barriers for Businesses: Several challenges like disproportionate VAT taxation, poor circular logistics, and short lifetimes of poor-quality goods hinder businesses from adopting circular models.
  5. Barriers for Consumers: Cultural inertia, stigma associated with second-hand items, and concerns about convenience and high cost act as barriers to consumer adoption.
  6. Wider Economic Impacts: While circular economy fosters growth, it poses risks like the ‘rebound effect.’ Countries dependent on raw material export might lose out, demanding knowledge-sharing and assistance.


How the Treasury Can Help:


Level the Playing Field:

  • Change VAT: Encourage repair by zero rating it and adjusting VAT on other items to make circular practices more attractive.
  • Give Leasing Businesses Access to Tax Relief: Amend regulations to make leasing businesses eligible for tax relief schemes.


Provide Financial Assistance:

  • Dedicated Fund: Establish a fund (e.g., £800 million) to support and kickstart circular businesses and create infrastructure for circular logistics.


Understand the Impacts of Tax:

  • Environmental Impact Assessment: Understand how tax measures influence behaviour and environmental goals.
  • Engage with Public and Businesses: Address public concerns early on, understanding the complex motivations behind consumer choices, and remove structural barriers to change.


The push towards a circular economy in the UK is both a promising opportunity and a complex challenge. The potential economic, social, and environmental benefits are significant. However, achieving them requires concerted effort to overcome barriers, adjust taxation policies, provide financial support, and engage in continuous learning and dialogue with stakeholders.


The role of the Treasury, along with cross-governmental collaboration, is paramount in unlocking the potential of the circular economy. The outlined strategies and interventions provide a roadmap for leveraging this untapped economic opportunity and making a transition to a sustainable, efficient, and inclusive circular model.

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The Office Furniture Strategy That's Hiding in Plain Sight

By Sam Coggin • October 16, 2025
Why Treating Furniture as Disposable Is Costing You More Than Money Walk into any office during a refurbishment and you'll see it: perfectly functional furniture heading for skips whilst new equivalents get ordered. We've normalised a throwaway culture that makes no business sense. Here's the thing—your office furniture strategy is actually a resource management strategy. And most businesses are getting it completely wrong. The 10-Year Desk That Could Last 30 Quality office furniture is engineered to last decades. That Herman Miller chair? Built for 30+ years of daily use. Solid wood desks? Practically indestructible with basic maintenance. Even well-made MDF furniture can serve for 15-20 years. Yet average office furniture replacement cycles run 5-7 years. Not because furniture fails—because offices move, rebrand, or someone decides it looks dated. We're throwing away assets with 70% of their useful life remaining. The Hidden Value in "Old" Office Furniture That dated reception desk isn't broken—it just needs refinishing. The conference table that doesn't match your new brand colours? It's still a conference table. Those filing cabinets from 2010? They still file things. The furniture reuse market is booming because smart businesses realised: Refurbishment costs 20-40% of replacement Quality vintage office furniture often exceeds modern standards "Dated" to you might be "perfect" for someone else Storage costs less than disposal plus replacement Why Circular Makes Commercial Sense The traditional model: Buy → Use (5 years) → Skip → Landfill fees → Buy again The circular model: Buy quality → Use → Refurbish → Use → Redeploy internally → Sell/donate → Someone else uses The second model extracts maximum value from every purchase. It's not environmental ideology—it's basic asset management. The Material Hierarchy of Sense When you must dispose of furniture, the value recovery hierarchy is straightforward: Metal furniture (filing cabinets, desk frames): Scrap value often covers removal costs Infinitely recyclable without quality loss Local scrap dealers will collect Wooden furniture: Refurbishment market is strong Solid wood retains value for decades Worst case: biomass fuel value Upholstered items: Reupholstery extends life by decades Foam and fabric recycling infrastructure growing Frame often outlasts covering by years Plastic furniture: Limited reuse market Recycling depends on plastic type Often the truly disposable option The Procurement Shift That Changes Everything Instead of asking "What's cheapest?" ask: What's the total life cost including disposal? Can we lease furniture and return it? Is there a take-back scheme? What's the refurbishment potential? Could we buy refurbished instead? Quality furniture that costs twice as much but lasts three times longer isn't expensive—it's a bargain. Your Practical Action Plan This month: Audit furniture due for replacement—does it really need replacing? Get refurbishment quotes alongside replacement quotes Find local furniture reuse charities—tax benefits plus free removal This quarter: Build furniture lifecycle into office move planning Create internal furniture redeployment system Partner with furniture refurbishment specialists This year: Shift procurement to quality + longevity over low initial cost Track furniture age and plan maintenance, not just replacement Calculate true total cost of ownership including disposal The Business Case Nobody's Making Every piece of furniture that gets reused or refurbished: Reduces procurement costs Eliminates disposal fees Maintains proven functionality Avoids delivery disruption Prevents waste compliance headaches This isn't about sustainability targets. It's about extracting maximum value from assets you've already paid for. The Bottom Line We've been conditioned to see office furniture as disposable. But it's not packaging—it's infrastructure. And successful businesses don't throw away functioning infrastructure. Your office furniture strategy shouldn't be about staying trendy. It should be about managing valuable assets sensibly. Next time someone suggests replacing functional furniture, ask: "What's actually wrong with what we have?" The answer might save you more than money. Want to discuss furniture lifecycle strategies? Share your biggest office furniture challenge in the comments.
Refurbished Herman Miller Aeron chair in a home office with text overlay on size and options guide.

Aeron Chairs: How to Choose the Right Size and Options

By Sam Coggin • September 30, 2025
Discover how to choose the right size and options for a Herman Miller Aeron chair. Save money and support sustainability with refurbished models.

One Size Doesn't Fit All: The Benefits of Resizing and Repurposing Office Desks

By Ida Gorecka • September 8, 2025
Your office transformation is approved. Budget's signed off. New layout's finalised. There's just one problem: those 1600mm executive desks that worked perfectly in the old corner offices are now 400mm too wide for your new collaborative pods. The reception desk you spent £3,000 on last year? It's the wrong height entirely for your rebrand. Most facilities managers would see this as a disposal problem. Skip hire , landfill tax , 12-week lead times for replacements. But what if that's completely backwards? What if the furniture that doesn't fit isn't a problem to solve, but an asset to unlock? Every year in the UK, around 1.2 million desks and 1.8 million office chairs are sent to landfill and only 14 % of them are being reused (Source: WRAP , Lancashire Business View ). Those old, "wrong-sized" desks you're planning to skip? They can be professionally refurbished and resized to your exact specifications in 7-10 days , at 40-70% less than new , with zero waste and a 12-month warranty . This article is for facilities managers, procurement leads, and fit-out teams who want practical, product-focused solutions. You’ll see when resizing and repurposing makes sense, the savings it delivers, the compliance boxes it ticks, and how to roll it out step by step. Curious what your current desks could deliver if resized or refurbished? Book a free assessment - we’ll map options, costs, and timelines for you.