Ikea is encouraging circular economy behaviours such as through Ikea Preowned

‘Buy into retail’: Ikea UK&I boss urges govt to support a circular economy

Ikea UK and Ireland boss Peter Jelkeby has said the furniture retailer’s efforts and actions are helping drive progress with the UK’s sustainability agenda and net zero ambitions – but the new government needs to provide some significant circular economy support.

In an article specifically for the British Retail Consortium trade group, Jelkeby spelled out what is needed from the new administration, which will be decided later this week when the UK goes to ballot box for the General Election.

The retail boss said whoever comes to power needs to “buy into retail” and realise how the industry can support moves to a more circular economy – but it needs the backing of policymakers.

Specifically, Jelkeby and Ikea have called for three things from the government – they are, as follows:

  • “Bold and consistent leadership” on forthcoming legislation such as Extended Producer Responsibility and the Deposit Return Scheme “to ensure they are fit for purpose and align across the whole of the UK”.
  • The government needs to provide “clarity on investment and infrastructure, particularly on renewable energy and electronic vehicles”.
  • Supportive legislation, for instance zero-rate VAT on recycled, repaired, or refurbished products, which can help encourage the UK’s move to a more circular economy.

The Ikea call to action suggested retailers have an opportunity and responsibility to help create a more sustainable future, but collaboration is required and the new government needs to recognise retailers “as partners in delivering change”.

Ikea has undertaken significant work to change the materials it uses so that products can often be reused, refurbished, remanufactured, and eventually recycled, as well as launching initiatives such as buy-back schemes and car-park car-boot sales to encourage circular thinking among consumers.

“We urge the next government buy into retail and recognise retail as a key partner in delivering sustainability and net zero outcomes for the benefit of our customers, co-workers, and the economy,” Jelkeby wrote.

“Let’s collaborate for a sustainable future and a better everyday life for all.”

[image credit: Green Retail World]

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