What will it take to mainstream circularity in fashion & textiles?

Few sectors illustrate the challenge of circularity more clearly than fashion. The UK discards more than 700,000 tonnes of textiles each year, losing an estimated £140 million in resource value. With the EU now mandating Extended Producer Responsibility (EPR) for textiles and the UK still weighing its own approach, the question is no longer if circularity must happen, but how. 

During Circular Economy Week, SEC Newgate UK brought together leaders from fashion retail, design and policy to explore what it will take to mainstream circularity and make sustainable choices both scalable and commercially viable in a world of shrinking resources. 

The circularity paradox

SEC Newgate research shared during the discussion, based on a survey of 2,000 UK consumers, highlighted a clear paradox. Most people already engage in circular behaviours such as buying second hand, repairing items or repurposing clothes, yet few recognise these actions as part of a circular economy. Awareness of the term itself remains low, even among younger generations who feel the most responsibility for sustainability.

This gap reflects a deeper communications challenge that the language of circularity is often technical, inconsistent or inward-looking. Bridging it requires a new kind of storytelling, one that links everyday habits to a broader systems-level vision and makes participation both understandable and aspirational.

Another paradox raised during the discussion, and perhaps the most fundamental, was around consumption itself. Circularity alone cannot solve fashion’s environmental impact if overproduction and overconsumption continue unchecked. The biggest sustainability challenge lies not only in designing circular products but in reshaping the consumer behaviour and business models that fuel constant turnover. 

Beyond recycling: a systems approach

Circularity is still too often mistaken for recycling. In reality, it is a far broader and more ambitious framework, rooted in systems and lifecycle thinking. As highlighted by Dr David Greenfield from the Circular Economy Institute, circularity begins not at disposal, but at extraction – ideally drawing from existing or “urban” sources – and continues through design, construction, use and eventual recovery.

Design is central. How materials are selected, how products are constructed for durability and repairability, and how they are intended to be used across multiple lifecycles all determine the efficiency and longevity of the system. End-of-life processes, including recycling, are critical, but represent just one part of a holistic approach. 

Panellists emphasised that fashion and textiles are a “perfect sector for design”, offering an opportunity to apply creative thinking to lifecycle challenges, extend material value, and embed sustainability from the outset.

Policy and incentives

A recurring theme was the role of policy in scaling circularity. EPR schemes, for example, can encourage higher quality, longer-lasting products and greater accountability across supply chains. Properly designed, they can also help level the playing field, supporting UK brands investing in sustainable practices while ensuring that low-cost, high-volume producers face the true cost of their environmental impact. If implemented effectively, EPR could align economic and environmental incentives, making circularity scalable rather than symbolic.

Systemic change, panel participants argued, requires more than rules alone. It depends on collaboration across brands, government and civil society. Insights from the UK Circular Economy Taskforce and representatives from the British Fashion Council emphasised that regulatory frameworks, procurement policies and fiscal incentives must work in concert to create conditions where circular solutions are both feasible and commercially viable.

Cultural barriers to circularity 

The discussion also explored the cultural barriers to circularity. Marketing remains a powerful force and has long celebrated speed, novelty and disposability – precisely the behaviours circularity seeks to challenge. UNEP’s work in developing guidance for sustainable fashion communications was cited as a key tool in this effort, helping marketers move from messages that perpetuate overconsumption to ones that support a just circular transition.

The shift also demands authenticity and transparency. Circularity can sometimes slip into greenwishing – the tendency to overstate its sustainable impact when initiatives remain limited in scale or ambition. According to Kearney’s 2025 Circular Fashion Report, only 4% of brands have achieved “extensive” circularity, while 70% sit in a “moderate” zone, signalling progress in awareness, but not yet in depth. The most credible communications acknowledge limitations alongside progress. Consumers are increasingly sceptical of perfection; they value honesty about trade-offs and the distance still to travel.

From progress to participation

The discussion reinforced that circularity is as much about mindset as mechanism. It asks the industry to value what already exists, to design with the future in mind and to see continuity as a source of creativity rather than constraint.

As the discussion drew to a close, one question lingered: how can the system be recalibrated so that circular choices become the default, rather than the exception? How can the equation shift so that virgin materials reflect their true environmental cost, giving circular products the competitive advantage they deserve?

Circularity is ultimately more than a technical or commercial challenge. It is a cultural and environmental one, shaping what the industry values, what consumers celebrate and how resources are used. Meeting that challenge will require more than new products or policies. It will require a new and engaging story – one that highlights the positive role circularity can play, making sustainable choices rewarding for consumers, beneficial for the planet, and valuable to the economy.