A “State of the Circular Economy” report shows that circular sectors were already contributing more than £7 billion to Scotland’s economy and accounting for 81,447 jobs in 2021 — with significant potential to drive further economic growth and job creation.
Commissioned by Zero Waste Scotland and delivered by Eunomia and University College London (UCL), the report quantifies the economic contribution of circular economy sectors, demonstrating that Scotland has “an unrivalled opportunity to evolve an economy that works for people, planet, and prosperity.”
Zero Waste Scotland said: “It strengthens recent evidence from experts including PricewaterhouseCoopers (PwC), Green Alliance, and the All-Party Parliamentary Group for the Environment that shows evolving a circular economy is no longer just an environmental imperative but a viable and lucrative economic opportunity.”
A circular economy is an economic system based on the reuse and regeneration of products and materials.
The European Parliament describes the circular economy as a “model of production and consumption” which involves sharing, leasing, reusing, repairing, refurbishing and recycling existing materials and products as long as possible.
This is a departure from the traditional “linear” economic model, which is based on a “take-make-consume-throw away pattern.”
Zero Waste Scotland CEO Iain Gulland said: “It’s a strategic, evidence-backed and impactful way to achieve our economic and environmental objectives in a considered and holistic way, and it’s an opportunity we can and must maximise.”
The report said that in 2021, the most recent year for which full data is available, circular economy sectors in Scotland generated an estimated £7.11 billion in gross value added (GVA).
“As a share of GVA, this figure represents 4.7% of total Scottish GVA, while as a share of GDP, this figure represents 3.9% of Scottish GDP, including offshore oil and gas extraction in Scottish waters,” said the report.
“The study also estimates that in 2021, there were over 81,000 jobs in circular economy sectors, which is 4.4% of total employment in Scotland.
“There is, therefore, significant scope to grow circular economic activity in Scotland, its share of overall economic activity, and realise the economic opportunities that such a transformation can bring.”