Circular economy: About 88% of materials are thrown away rather than reused or recycled (Bruegel report)

"About 88 percent of materials are thrown away rather than reused or recycled in the European Union. That creates mountains of refuse that are expensive to dispose of, and wastes valuable resources that could re-enter the economy rather than being incinerated or buried," according to a Bruegel report, released on 24 September 2026.

It says that "tax systems favor linear 'take-make-waste' practices because the environmental harms associated with virgin material extraction remain largely unpriced. Price-based instruments can help move the behavior of producers and consumers towards more efficient use of resources".

Indeed, EU environmental subsidies reached €45Bn in 2023, up 39% in 2022, but remain dominated by energy and renewables rather than circular-economy measures, the report says…