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Empowering Companies Through Circular Economy Strategies

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West Yorkshire, a region rich in industrial heritage, is embracing sustainability not just in theories, but in action. Local small and medium-sized enterprises (SMEs) are stepping forward to implement low-carbon, resource efficient solutions that align with a growing circular economy. One of the key enablers of this shift has been the Resource Efficiency Fund (REF) programme.

Introducing the Resource Efficiency Fund (REF) programme

REF was launched in 2016 and funded by the European Regional Development Fund (ERDF), the REF was designed and delivered by the West Yorkshire Combined Authority (WYCA) in partnership with Environmental Strategies Ltd (ESL). The programme provided eligible SMEs with technical assessments, wraparound business support, and matched funding grants to implement resource efficiency improvements in energy, water, and waste. REF was started as a resource-saving initiative and has evolved into a driver of industrial symbiosis and sustainable business growth across the West Yorkshire region.

REF was designed to overcome key barriers such as lack of time, knowledge, or capital that prevent SMEs from implementing resource-efficient measures. Businesses were supported throughout the process by dedicated Resource Efficiency Managers, who provided hands-on guidance, from audits to grant applications to follow-up support. Although the REF programme concluded in 2019, its outcomes are worth to analyse for future circular economy and industrial symbiosis initiatives in the West Yorkshire region. The REF case studies and lessons could be highly instructive to plan next-generation business support programmes for policy makers and funders as well.

Industrial Symbiosis Case Studies

The following case studies representing SMEs in West Yorkshire demonstrate examples of industrial symbiosis within single organisations, where businesses reused internal waste streams or repurposed infrastructure to enable circular practices. While this "within-company" symbiosis may not fully align with traditional definitions, it has been acknowledged in earlier scholarship, including work by Rachel Lombardi, CEO of International Synergies. While Chertow’s (2000) definition of industrial symbiosis focused heavily on physical exchanges and geographic proximity, Lombardi and Laybourn (2012) propose a more dynamic and inclusive definition:

Industrial symbiosis engages diverse organizations in a network to foster eco-innovation and long-term culture change. Creating and sharing knowledge through the network yields mutually profitable transactions for novel sourcing of required inputs, value-added destinations for non-product outputs, and improved business and technical processes.

Case Study 1: Bailey Hague Joinery, Reducing Wood Waste

Location: Leeds, West Yorkshire
Contact: baileyhaguejoinery.co.uk/contact-us

Bailey Hague Joinery first heard about REF informally and quickly realised the opportunity it presented. With the support of REF manager, they had installed a wood-burning stove powered by its own offcuts, turning what was previously landfill-bound waste into renewable energy. They also self-funded wall insulation.

Impacts reported by Bailey Hague:

  • Lower energy costs
  • Reduced landfill waste
  • A warmer and more comfortable workshop
  • Faster glue-drying times, leading to increased production

This project encouraged further improvements, including exploring LED lighting and advanced manufacturing software highlighting REF's role as a gateway to long-term innovation

Case Study 2: Dugdale Ltd, Shedding Light on Smart Growth

Location: West Yorkshire
Contact: dugdalepvc.com/en/page/about-us

Benwick Dugdale Ltd, a manufacturer of PVC products, engaged with REF to address poor lighting and warehouse inefficiencies. With REF support, they installed high-efficiency LED lighting, co-funding the project with their own investment. This enabled the company to reconfigure their space with narrow rack storage systems and invest in a narrow aisle forklift truck, maximising storage capacity. This project demonstrates industrial symbiosis in action where efficiency upgrades created space and capacity for broader operational change.

The impacts included:

  • Reduced energy bills
  • Lower storage costs
  • Fewer picking errors and less damage to goods
  • A modern, professional warehouse environment

Dugdale's representative’s feedback was “I can’t speak highly enough of how painless the grant process was and how helpful the Resource Efficiency Manager was.”

Case Study 3: JTS Cushions, Turning Energy Upgrades into Resilience

Location: Gresley, West Yorkshire
Contact: jtscushions.co.uk/contact-us

JTS Cushions, a family run business manufacturing fibre and feather filled cushions, engaged with REF to replace an ageing, inefficient boiler. With grant funding and technical support, they installed a new energy-efficient boiler reducing costs and improving both safety and performance.

The impact was business-wide:

  • Energy savings and better heat regulation
  • Extra storage space due to the smaller boiler size
  • Increased capacity to handle larger orders reliably

This single upgrade prompted broader environmental improvements:

  • Replacement of fluorescent lights with LEDs
  • Enhanced waste segregation and recycling
  • A 30% reduction in polythene packaging waste

The company now reports stronger environmental credentials, improved health and safety compliance, and a more confident market stance especially when bidding against larger competitors.

REF Programme’s Impacts and Reflections

The REF programme has had measurable success across West Yorkshire:

  • 284 SMEs supported
  • 7 million kWh of annual energy savings
  • £572,488 in annual cost savings
  • 9,575 m³ of water saved
  • 322 jobs created or safeguarded
  • £15 million in Gross Value Added (GVA)

Survey data further reveals:

  • 7% of businesses were satisfied or highly satisfied
  • 63% reported improved profitability
  • 50% improved their environmental credentials
  • 70% explored further business support after engaging with REF

Conclusion: Circular Thinking for a Green West Yorkshire

These results demonstrate REF's success as both a resource-efficiency programme and a strategic tool for SME development. Many participants reported better working environments, stronger staff morale, and an increased appetite for sustainability investment. The REF programme didn’t just improve processes, it changed mindsets. By embedding circular economy principles, businesses began to see resource efficiency not as a compliance task but as a competitive edge. Waste materials became energy sources. Lighting improvements triggered warehouse optimisation. A single boiler replacement catalysed an environmental shift. These are not isolated interventions, they are circular strategies that enable industrial symbiosis. They demonstrate how sustainability can be cost-effective, collaborative, and growth oriented. The programme also built SME capacity to pursue larger circular ambitions from environmental management systems to circular product design and ethical sourcing.

However, one area where the programme fell significantly short was waste diversion from landfill. Against a target of 6,000 tonnes annually, only 209 tonnes were recorded i.e. just 3.5% of the intended outcome. This highlights a missed opportunity to develop cross-business material reuse and by-product exchange systems.

Future programmes would benefit from stronger tracking of material flows, facilitation of external resource partnerships, and clearer industrial matchmaking platforms (digital or in person) to enable SMEs to identify and exchange excess materials, waste, heat, or water with nearby firms, unlocking the full potential of industrial symbiosis. Beyond grant funding, creating opportunities for SMEs/businesses to co-develop long-term resource-sharing agreements with incentives tied to mutual benefit and circular innovation would also be beneficial.

About the Author

Charmi Kapadia is an MSc student at the University of Leeds, studying Environmental Engineering and Project Management. She is currently working as a Research Assistant with the Yorkshire Circular Lab, where she contributes to the development of regional circular economy business models and industrial symbiosis strategies. Previously, she worked as a state consultant in WASH (Water and Sanitation) and infrastructure roles in UNICEF and holds a background in Civil Engineering and Urban planning. Her current focus is on bridging applied research in circular economy principles and environmental sustainability.

References

West Yorkshire Combined Authority (2019) Resource Efficiency Fund: Summative Assessment Report December 2019. [Accessed 15 May 2025] [Online]. Available at: https://www.westyorks-ca.gov.uk/media/6579/ref-sar-20122019-final.pdf

Environmental Strategies Ltd (n.d.) Resource Efficiency Fund (REF): Saving Energy, Water and Waste. [Accessed 15 May 2025] [Online]. Available at: https://esltd.co.uk/case-studies/resource-efficiency-fund-ref-saving-energy-water-waste/ .

Bailey Hague Joinery (n.d.) Contact Us. [Accessed 15 May 2025] [Online]. Available at: https://www.baileyhaguejoinery.co.uk/contact-us/

Dugdale Ltd (n.d.) About Us. [Accessed 15 May 2025] [Online]. Available at: https://www.dugdalepvc.com/en/page/about-us

JTS Cushions (n.d.) Contact Us. [Accessed 15 May 2025] [Online]. Available at: http://www.jtscushions.co.uk/contact-us/

Lombardi, D.R. and Laybourn, P. (2012) ‘Redefining industrial symbiosis: Crossing academic–practitioner boundaries’, Journal of Industrial Ecology, 16(1), pp. 28–37. [Accessed 24 May 2025]. [Online]. Available at: https://doi.org/10.1111/j.1530-9290.2011.00444.x

Chertow, M.R. (2000) ‘Industrial symbiosis: Literature and taxonomy’, Annual Review of Energy and the Environment, 25(1), pp. 313–337. [Accessed 24 May 2025].  [Online]. Available at: https://www.researchgate.net/publication/249558396_Industrial_symbiosis_Literature_and_taxonomy

Annex

Evaluating REF’s Performance (Expectations vs Achievements)

Metric Forecast Achieved Remarks
Energy savings (kWh/year) 5,300,000 7,039,845 Exceeded target by over 30%
Cost savings (£/year) £480,000 £572,488 Strong performance reflects real economic value for SMEs
Water savings (m³/year) 3,000 9,345 Tripled the original estimate
Waste diverted (tonnes/year) 6,000 209 Significant shortfall largely due to underreported or unrecorded exchanges
GVA contribution (£) £11 million £15 million Surpassed target by over 35%
Jobs safeguarded or created 270 322 Indicates meaningful employment impact
SMEs receiving assessments 160 284 Engagement more than 70% above target
SMEs receiving grant funding Not explicitly forecast 40+ Reflects strong uptake where match funding was viable
Follow-on engagement Not quantified 70% of SMEs Demonstrates long-term behavioural impact

Source: West Yorkshire Combined Authority (2019)