Innovations in innovation policy for the circular economy

This chapter contributes thought leadership on the circular economy (CE) and innovation to suggest ways in which innovation research and policy more broadly can be supported to enhance CE outcomes. Through an assessment of an existing public sector CE innovation intervention (CE Innovation Communities, in South Wales), augmented by a focused literature review and a subsequent set of stakeholder (firm) consultations, it concludes that to be most effective, future innovation research – and the consequent interventions arising – will need to be cross-cutting and thematic, rather than restricted to a CE silo. Future innovation policy interventions will also need to generate standalone projects that are manageable and achievable, with defined and measurable outcomes. One way to do this will be to build on the underlying drivers (and barriers) at three levels of activity (firm, network, system). An enhanced Circular Economy Innovation Communities model is cited as a potentially transformative mechanism.