Investing in the circular economy
Since the industrial revolution, our economy has followed a linear “take, make and dispose” model, generating wealth by consuming finite resources. Although cheap energy and resources fuelled its success throughout the 21st century, recent price rises and increased volatility have brutally reversed that trend. But whilst the context has changed, the system remains the same.
It’s time, many business leaders and politicians argue, to shift towards a circular, regenerative economy, one that ensures, through careful product design and management, and adapted business models, that the very idea of waste is phased out. A circular economy ensures we make the most of our precious and limited resources by reusing or remanufacturing products that would have once ended up on the scrapheap. It makes both environmental and economic sense, and businesses and investors stand to gain a lot from this safe, long-term and sustainable model.