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£6.5m Circular Economy Funding to Support a Green Recovery

£6.5 miliwn gan Gronfa’r Economi Gylchol i Gefnogi Adferiad Gwyrdd

The Deputy Minister for Housing and Local Government has launched the second round of Welsh Government’s £6.5m Circular Economy fund for local authorities and publicly funded bodies, including town and community councils, to support the green recovery.

Following a successful first round, the fund has been expanded to support the post-Covid response and green recovery in Wales.  The Circular Economy Fund will support actions to make the circular economy a reality in Wales, by keeping materials in circulation for as long as possible and avoiding waste. Wales is on course to become a global leader in recycling and a circular economy is important to increasing resilience and making Wales net zero carbon Wales by 2050.

This year’s funding of £3.2m, targeted at local authorities and publicly funded bodies, runs in parallel to the Circular Economy Fund for businesses. Recognising both the challenges faced as a result of Covid-19 and the opportunities associated with the transition to a circular economy in Wales. £3.5m is also available to businesses to increase their use of recycled materials in manufactured products, components or packaging and re-use, refurbishment and remanufacturing activities.

A Circular economy is an important part of a green recovery, tackling the climate emergency and improving resilience. By keeping resources in use for as long as possible and avoiding waste, it not only benefits the environment, but will enable Wales to take advantage of economic opportunities by shortening supply chains and making the most of recycled materials.

 Deputy Minister for Housing and Local Government, Hannah Blythyn said:

“Wales is on a journey towards becoming a circular economy. We already recycle more than anywhere else in the UK and we are within touching distance of being the world’s top recycling nation. 

The Covid-19 experience has brought an increasing awareness of the importance of resources and the resilience of our supply chains.  In addition, our world class recycling services provided vital resilience during the lockdown. 

By supporting public bodies and businesses to take action to support the transition to a circular, low carbon economy this fund is an important part of a green recovery from the impacts of the pandemic and to our continued commitment to addressing the climate emergency. I am pleased to announce that the fund is now open for applications and will close on 27th July.”


Notes to editors


The first round of the Circular Economy Fund for publicly funded bodies saw £3,694,584 allocated between 34 projects in 2019-20. Examples of projects supported through this first round of the fund are:

  • 14 schools in Ceredigion who will install milk dispensers and reusable beakers to replace plastic milk bottles and straws, in an attempt to reduce plastic bottles and straws by 1,979 per day, or 376,010 per school year;
  • Clean and Green Anglesey; which improved facilities at recycling sites to make it easier and safer for the public.
  • Neath Port Talbot County Borough Council’s Open Spaces Recycling Initiative to improve on the go recycling in town centres and other areas of high footfall.

Application information for Local Authorities and publicly funded bodies can be found here:

The Circular Economy Fund for business has also been expanded to support a green recovery by helping businesses and enterprises across Wales to use recycled material, to re-use and to re-manufacture. The fund is administered by Wrap Cymru and more information can be found here: