Rewire economy to see Scotland become richer and greener, report urges

Scotland must rewire its economy to become a fairer, greener and richer country, an economic and environmental report has said.

The paper urges political leaders to put a circular approach at the heart of growing the country’s economy.

Environmental organisation Zero Waste Scotland has published the report alongside the Economic Development Association Scotland (EDAS), which describes itself as the “foremost membership organisation for economic development professionals working across Scotland”.

The joint report calls for “social provisioning” to be a central part of public policy to “reverse the idea that society operates for the benefit of the economy to one which ensures the economy’s purpose is to ensure benefit for the people and the planet”.

Circular Economy: Unlocking Scotland’s Economic Potential urges a move away from a “take-make-waste” economy in Scotland that currently sees only 1.3% of materials reused.

It calls for a circular economy instead, an idea based on the sustainable reuse of materials and products in a bid to create less waste.

National and local governments are urged to “embrace real reform” rather than “tinkering at the edges”.

The report praises Scotland’s “strong policies” promoting a circular economy but warns they must be more effectively integrated with the rest of society to achieve results.

It also calls for a move away from GDP “as the sole measure of success”.

The authors say key industries, including housing, construction, renewable energy and food must embed circularity to drive sustainable development and reduce waste.

The report says: “We stand at an inflexion point moving from a long-standing fossil-fuelled economic growth model – with unacceptable levels of poverty and inequality with unsustainable and linear material and resource use – to an emerging circular, greener, more universally generous wellbeing economic model, one which must effectively organise itself accordingly to society’s needs and wants.

“We need a rewiring of the economy which is not just tinkering at the edges. We must embrace real reform.”

EDAS chairman Neil McInroy, an expert in community wealth building who previously advised the Scottish Government on the issue, said: “The Scottish economy stands at a pivotal moment.

“As we transition from a longstanding linear growth model to an emerging circular wellbeing-driven framework, we must fundamentally rethink the purpose of economic development.”

McInroy said creating a circular economy would be “central” to Scotland’s future prosperity.

He added: “We need greater innovation and bolder ambition to transform our economy and move beyond the constraints of the traditional growth versus no growth debate and create a thriving, resilient society.

“Scotland has an opportunity to be a true leader in integrating circular principles into economic development.”

Iain Gulland, chief executive of Zero Waste Scotland, said: “For too long the circular economy has been painted as a ‘bolt on’ to business as usual; something that offers a degree of sustainability and opportunity around the fringes of the current economic model but only where circumstances allow and certainly not where it appears to get in the way of normal growth characteristics.

“But if we’re serious about achieving a future that’s both environmentally and economically sound, then circularity needs to become more central to the purpose of economic growth.

“It is the ultimate tool to help us increase prosperity in line with our net zero and anti-poverty objectives, realising lucrative opportunities for business growth, investment in innovation, upskilling of the workforce and create more resilient communities – as well as protect our natural environment.

“In Scotland we have a strong commitment to circularity at decision-making level, and through this partnership with EDAS we look forward to strengthening our work with the Scottish Government and key delivery partners to accelerate sustainable change for people, planet, and prosperity.”

The Scottish Government has been approached for comment.