Perceived cost biggest barrier to circular economy – research

UK Businesses Emphasize Importance of Circular Economy, but Cost Remains a Barrier

Introduction

A recent study conducted by waste management firm Biffa and YouGov reveals that 60% of UK businesses consider the circular economy to be important. However, 36% of respondents cite cost as the biggest obstacle to adopting more sustainable practices.

Participation in the Circular Economy

The study found that 21% of surveyed businesses were unsure if they participate in the circular economy, with this confusion increasing to 30% among small organizations.

Priority Lists of UK Decision Makers

The research highlights that “sustainability” ranked lowest on the priority lists of UK decision makers, with “cost efficiency” taking first place, followed by “revenue growth.”

Barriers to Sustainability

Among the businesses surveyed, 36% identified cost as the biggest barrier to adopting sustainable practices. Additionally, 38% expressed a desire for financial incentives to support their sustainability efforts. Lack of infrastructure and time were also cited as hindrances by 23% of respondents.

Commentary on the Findings

“Our research shines a light on the misconception that sustainable business practices are more expensive.”

Maxine Mayhew, Chief Operating Officer at Biffa, commented on the findings, stating that the research challenges the misconception that sustainable practices are cost-prohibitive. She emphasized the importance of defining a sustainability strategy that aligns with available resources, allowing businesses to take manageable steps towards sustainability. Mayhew also highlighted the commercial opportunities that sustainable practices can bring, attracting eco-conscious talent and clientele.

Industry Perspectives on the Circular Economy

According to Biffa’s research, decision-makers in manufacturing (74%) and construction (66%) sectors value the circular economy the most. The participation levels in the circular economy were similar across industries such as hospitality and leisure, retail, manufacturing, and construction (64%). The study also revealed that senior decision-makers in large manufacturers (76%), medium-sized construction businesses (68%), and small hospitality and leisure businesses (62%) consider their organizations to be part of the circular economy.

The Business Case for Sustainable Packaging

“UK businesses are clearly motivated to protect the environment and help combat climate change.”

Roger Wright, Waste Strategy and Packaging Manager at Biffa, highlighted the motivation of UK businesses to protect the environment and combat climate change. He mentioned that more businesses are adopting sustainable packaging choices to meet the growing consumer demand for eco-friendly options. Wright emphasized that investing in sustainable packaging design can create new sales opportunities. He also noted that upcoming legislation, such as Extended Producer Responsibility (EPR), is expected to reward sustainable packaging choices that enhance circularity, providing both opportunities and risk mitigation for early adopters of sustainable practices.

Conclusion

The research conducted by Biffa and YouGov demonstrates the importance of the circular economy to UK businesses. While cost remains a significant barrier, there is a growing recognition of the commercial opportunities and benefits associated with sustainable practices. By aligning sustainability strategies with available resources, businesses can take meaningful steps towards a more sustainable future.

References:

1. Circular Online

SDGs, Targets, and Indicators

1. SDG 12: Responsible Consumption and Production

   • Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources
   • Target 12.5: By 2030, substantially reduce waste generation through prevention, reduction, recycling, and reuse

2. SDG 8: Decent Work and Economic Growth

   • Target 8.4: Improve progressively, through 2030, global resource efficiency in consumption and production and endeavor to decouple economic growth from environmental degradation

3. SDG 9: Industry, Innovation, and Infrastructure

   • Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies and industrial processes

Analysis

The article highlights the importance of the circular economy and the barriers faced by businesses in adopting sustainable practices. Based on this information, the following analysis can be made:

1. SDGs Addressed

The issues discussed in the article are connected to the following SDGs:

• SDG 12: Responsible Consumption and Production
• SDG 8: Decent Work and Economic Growth
• SDG 9: Industry, Innovation, and Infrastructure

2. Targets Identified

Based on the article’s content, the following targets can be identified:

• Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources
• Target 12.5: By 2030, substantially reduce waste generation through prevention, reduction, recycling, and reuse
• Target 8.4: Improve progressively, through 2030, global resource efficiency in consumption and production and endeavor to decouple economic growth from environmental degradation
• Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies and industrial processes

3. Indicators

The article mentions or implies the following indicators that can be used to measure progress towards the identified targets:

• Percentage of businesses considering the circular economy as important
• Percentage of businesses perceiving cost as a barrier to sustainability
• Percentage of businesses seeking financial incentives to be more sustainable
• Percentage of businesses hindered by a lack of infrastructure and time for environmental efforts
• Percentage of manufacturing and construction decision-makers valuing the circular economy
• Percentage of businesses that consider themselves part of the circular economy

Table: SDGs, Targets, and Indicators

Behold! This splendid article springs forth from the wellspring of knowledge, shaped by a wondrous proprietary AI technology that delved into a vast ocean of data, illuminating the path towards the Sustainable Development Goals. Remember that all rights are reserved by SDG Investors LLC, empowering us to champion progress together.

Source: circularonline.co.uk

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