The report gathers insights and next steps across three key areas: Circular Business Models (CBMs), sustainable manufacturing and recycling infrastructure.

CFIN was launched in September 2023 to support and guide the creation of a circular fashion ecosystem in the UK by 2032 and is co-chaired by the UK Fashion & Textile Association (UKFT) and the British Fashion Council (BFC), in partnership with UK Research & Innovation (UKRI).

Adam Mansell, CEO of UKFT, commented: “After a year, we’ve made some real progress and taken practical steps forward, but more importantly, we’ve brought together all parts of the supply chain. This isn’t just about solving the challenges in our sector – it’s also about creating new opportunities for growth, efficiency and sustainability across the whole industry.”

A full version of the report will be released in May 2025.

Circular Business Models (CBMs)

CBMs aim to reduce fashion waste and overproduction by keeping products and materials in use for longer and regenerate them at the end of their life.

CFIN’s research showed that despite a strong intention towards circularity, the fashion industry is facing primary barriers to implementing and scaling CBMs – such as customer communication. It also highlights that 63% of existing customer-facing CBMs remain in a low-maturity pilot phase.

It highlighted several next steps including:

• The development of an accelerator program to support scaling circular business models
• Identifying a harmonised approach to how brands and retailers communicate with their customers on sustainable fashion

CFIN’s work around CBMs was led by Kathleen Mitchell, commercial director at John Lewis.

Sustainable manufacturing

The report also called for the leveraging advanced technologies such as AI, automation and robotics to put the UK in a position to lead sustainable change across apparel and textile manufacturing.

It identified an opportunity for the UK to align its manufacturing capacity with volume demand, which could reduce reliance on imports and enhance the ability of the sector to respond to market trends.

Next steps included:

• Continuing to explore the integration of technological innovations in UK manufacturing supply chains
• Focusing on scaling capacity and fostering collaborations between manufacturers, innovators and industry stakeholders

Nick Lugg OBE, chairman of UKFT and director of Shotley Consulting, led CFIN’s research around sustainable manufacturing.

Recycling infrastructure

Currently, the UK generates 1.45 million tonnes of post-consumer textiles.

CFIN has said it is in the process of developing a National Textile Recycling Infrastructure Plan to increase textile-to-textile recycling and address the need for sustainable management of non-rewearable textiles.

The report stated that automated sorting technologies, innovative textile recycling processes and other technical advancements could help change the sector’s capabilities.

The next steps have been laid out as:

• Continuing to develop a National Textile Recycling Infrastructure Plan
• Advocate for Extended Producer Responsibility (EPR) schemes to finance the infrastructure
• Foster cross-sector collaboration to drive recycling innovation

Gavin Graveson, senior executive VP at Veolia (Northern Europe), led the Recycling Infrastructure theme.