A New Chapter for Circular Business: Ireland's Circular Economy Strategy 2026–2028

Illustrative image — Whole of Government Circular Economy Strategy 2026–2028: Accelerating Action.

Ireland's second Whole of Government Circular Economy Strategy 2026-2028. Accelerating Action has arrived — and it is the most ambitious and concrete national commitment to circularity the country has seen. Launched in February 2026 by Minister for Climate, Energy and the Environment (DCEE) Darragh O'Brien and Minister of State Alan Dillon, the Whole of Government Circular Economy Strategy 2026–2028: Accelerating Action sets out a cross-departmental plan to move Ireland decisively away from the linear 'take–make–waste' model and toward a regenerative economy where materials, products, and resources are kept in use for as long as possible.  

For businesses, enterprises, and innovators working in or adjacent to the circular economy, this strategy matters. It signals where regulation is heading, where public funding will flow, and where the growth opportunities lie. 

Where Ireland Stands and Why the Urgency Is Real  

The Circularity Gap Report Ireland cover.

The scale of the challenge is real. Ireland's Circularity Gap Report found that the country's circularity metric stands at just 2.7%, meaning that more than 97% of materials flowing through the economy originate from virgin sources. Ireland continues to operate largely within a linear model characterised by high material and carbon footprints, but as the same report makes clear, advancing the circular economy has transformative potential for decarbonisation, competitiveness, and economic security. 

The strategy's central objective is to raise Ireland's circular material use rate by two percentage points each year, with the aim of reaching 12% by 2030, supporting economic expansion while improving resource productivity and reducing dependency on virgin raw materials.   

The ambition is not just environmental. As Minister Dillon noted, the strategy aims to transform how Ireland uses materials and resources, cut waste, boost productivity, and create sustainable jobs in every part of the country. Circularity, in other words, is being positioned as an economic strategy as much as an environmental one.  

A Whole-of-Government Approach. Six Sectors, Concrete Targets

 What distinguishes this Strategy from its predecessor is the shift from framework-setting to action. The strategy has a statutory basis and includes sector-specific targets across construction, bioeconomy, retail, packaging, textiles, and electronics. 

Here are some of its highlights:    

Cross-Cutting & Innovation  

Several significant cross-cutting measures will shape the operating environment for all circular enterprises. A new Circularity Sandbox Programme will allow companies to safely test circular materials and processes in a collaborative and trial-friendly regulatory environment, a meaningful step for innovators working with novel or bio-based materials. The Circular Economy Innovation Grants Scheme will see its funding nearly tripled, from €650,000 to €1.5 million. A dedicated Statutory Instrument will be introduced to simplify the classification of by-products in line with EU legislation, addressing a long-standing barrier for businesses seeking to keep materials in use. A pilot Repair Voucher Scheme and other targeted initiatives will encourage repair and reuse, while Civic Amenity Sites will be reimagined as Circular Economy Hubs. Research will also be undertaken on VAT and other tax measures to incentivise prevention, reuse and repair, and a mapping exercise will identify all circular economy funding opportunities at national and EU levels.  

CIRCULÉIRE will be formally established as a Centre of Excellence for the circular economy in Ireland.

Construction  

The strategy commits to the publication of a Circularity Roadmap for the Construction Sector in 2026 and agreement on a sectoral compact partnership between government and industry to accelerate circular practices. From 2028, at least 10% by weight of construction materials procured by public bodies for infrastructure projects must comprise recycled materials. A feasibility study will also explore a national digital marketplace for secondary construction materials. 

Bioeconomy  

A National Bioeconomy Strategy and a National Food Waste Prevention Roadmap will both be published in 2026. The strategy sets a target to reduce food waste in processing and manufacturing by 10% by 2030. It also commits to reviewing the biowaste regulatory framework and develop standards to enable the valorisation and reuse of bio-based materials. A feasibility study will explore an All-Island digital platform for industrial symbiosis across key sectors. 

Retail  

By February 2028, Hotels, Restaurants and Cafés (HORECA) establishments must offer their own reusable packaging options for takeaway items, with no surcharge compared to single-use alternatives. New voluntary recycling labelling systems will be promoted to help consumers understand the circularity of products. Enhanced dialogue between retailers and the public sector will address upcoming EU legislation including the Right to Repair Directive, the Ecodesign for Sustainable Products Regulation (ESPR), and Digital Product Passports. 

Packaging  

The strategy aims for a 5% packaging waste reduction by 2030 and 90% plastic bottle collection by 2029 through implementation of the EU Packaging and Packaging Waste Regulation (PPWR). A reuse matchmaker platform will connect businesses generating reusable packaging flows with those seeking supply. Funding for reusable packaging demonstration pilots and implementation of refill obligations are also included. 

Textiles  

A National Policy Statement and Roadmap on Circular Textiles was launched in April 2026 already delivering one of the actions of the Strategy, with the commitment to develop an EPR Scheme for textiles by April 2028. Evidence-based public awareness campaigns will target textile waste prevention and conscious consumption. By 2027, polyester fibre products procured by public sector bodies must include a minimum of 20% recycled content.  

Electronics & Electrical Equipment (EEE)  

The strategy commits to expansion of repair and remanufacturing and transposition of the Right to Repair Directive, including operation of a national repair platform by July 2027. A centralised registry for repair operators, refurbishers, and remanufacturers active across Ireland will be established. Circular electronic business models —lending, renting, leasing, repair, and servicing— will be actively supported, and by 2027, the OGP will launch a new ICT equipment management framework to prioritise reuse.  

CIRCULEIRE Members Showcasing What Circular Looks Like

CIRCULÉIRE Case Studies.

One of the most tangible ways a strategy signals its direction is in the examples it chooses to highlight. We are proud to share that all six case studies featured in the strategy come from CIRCULEIRE members, spanning every key sector addressed: 

• Built Environment: Arcology System  

• Circular Bioeconomy: EcoRoots  

• Retail: Shareclub  

• Packaging: Rebox  

• Textiles: Rezero  

• EEE: Votechnik 

These case studies were drawn from the CIRCULÉIRE library, which can be found on our website, a growing collection of real-world circular innovation stories from Irish enterprise and beyond.  

Industry Input Reflected in the Final Text  

CIRCULÉIRE participated actively in the public consultation process, submitting detailed recommendations developed with and on behalf of our member network. DCEE reviewed more than 120 submissions and stated that feedback has been reflected in the final text where appropriate. We are pleased to see that several of the recommendations we put forward are clearly reflected in the final strategy —including the design of a Circularity Sandbox Programme, introducing a dedicated statutory Instrument to support the simplification of the classification of by-products, the review of the biowaste regulatory framework and a new standards development process for secondary biological resources, among others. This exemplifies that structured, evidence-based industry engagement works, and that participating in policy processes makes a genuine difference.  

What This Means for Your Business  

This strategy is not simply a policy document; it is a map of where Ireland's regulatory and funding landscape is heading over the next three years and beyond. The direction of travel is clear: circularity will increasingly become the baseline expectation, not the exception. 

For businesses already operating in the circular economy, the strategy brings new opportunities —in public procurement, in innovation funding, in digital infrastructure, and in the regulatory simplifications that have long been called for. For businesses beginning their circular transition, it indicates that now is the time to act. 

CIRCULÉIRE exists to help enterprises navigate this landscape — connecting members with policy developments, funding opportunities, peer learning, and collaborative platforms. If you would like to understand what the strategy means for your sector or your business, get in touch.