Construction salvage yard with stacked reclaimed timber, window frames, paving blocks, and roofing materials stored outdoors.

CirCoFin feasibility study for Scotland

06 Aug 26

Circular Construction Hub Feasibility Study for Scotland – Scottish Showcase Summary Report

Explore the Circular Construction Hub Feasibility Study for Scotland – Scottish Showcase Summary Report.

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Introducing CirCoFin

We are pioneering the potential for a Circular Construction Hub (CCH) in Scotland that can attract external investment and demonstrate reuse of construction materials at scale, supporting the transition to a circular economy. Through this Horizon Europe-funded CirCoFin project, we are working with partners in Munich, Copenhagen and Lisbon to develop CCH models.
 
A CCH is a physical site or digital platform (or a combination of both) that allows the exchange of a range of materials, either for free or at a cost, to be used for what they were originally manufactured for. CCHs aim to increase the recovery and reuse of building materials through collecting, assessing, storing, refurbishing and redistributing them, helping businesses to navigate rising costs and develop more resilient supply chains
 

Approach in Scotland

Zero Waste Scotland is leading Scotland's CirCoFin showcase and is the only national-scale pilot. The project is exploring which CCH models which are best suited to Scotland, as well as developing a national roll out strategy proposal. 

During the feasibility phase, Zero Waste Scotland engaged stakeholders across the built environment sector and undertook research including construction and demolition data mapping and material flow analysis.

The findings from this research are informing hub design, business development and investment planning activities, providing the foundation for future implementation across Scotland.

Aerial view of an industrial estate beside a river, with warehouses, roads and surrounding green space.

Market conditions

A successful CCH needs a supportive ecosystem around it, including sufficient material supply, customer demand, infrastructure, and coordination. While current construction reuse rates remain low, growing awareness of circular practices, supportive policy frameworks, and market pressures such as material cost volatility are creating new opportunities. 

Our research shows stakeholder support for construction material reuse and the development of CCHs in Scotland. Stakeholders noted that a CCH would need to have a role in addressing systemic barriers, which include quality assurance, standards, logistics, skills, financing, and limited market awareness. 

By providing the infrastructure and resources needed to support reuse, alongside policy and regulatory drivers, CCHs could help tackle the market barriers for scalability.  

Location appraisal

The feasibility study included a two-stage location appraisal to shortlist suitable areas for an initial Circular Construction Hub (CCH) pilot and future regional hub and spoke network. This was intended to identify which areas of Scotland had the most suitable infrastructure, economy and supporting policies, to increase the likelihood of a successful pilot. 

A multi-criteria analysis assessed all 32 local authorities against social, environmental, economic, logistics, development, and material opportunity factors. This resulted in North Lanarkshire, Glasgow City, and Falkirk emerging as the strongest candidates to take forward for further analysis. 

For these three areas, additional analysis using place-based stakeholder engagement and desk research assessed each according to five success criteria:

  • Material flows
  • Growth in construction businesses
  • Awareness
  • Supportive policy conditions
  • Fit with economic development ambitions

Glasgow City and North Lanarkshire demonstrated the strongest potential as initial locations and will progress to the next phase, while longer-term plans for upscaling and roll out will continue to consider other areas.

Location of shortlisted local authority areas:

circofin location appraisal scotland map graphic

Circular Construction Hub models

Scotland's CirCoFin showcase is following a pilot-first approach, which is intended to support initial hub pilots in key locations, and then scaling these activities combining physical and digital infrastructure within a growing hub-and-spoke network of interdependent hubs. Based on the four design elements (operational, technical, financial and business) we developed three models. These are:

  • Circular Market Hub
  • Circular Distribution Hub
  • Circular Heritage Hub

Research has indicated that some level of public financial support is likely to be required in the early pilot stages, due to levels of perceived risk associated with investing in new and innovative circular economy business models. Other forms of impact driven investment such as crowdfunding or green bonds may also provide support. 

Initial CCH customers are likely to be DIYers, self-builders, SMEs, and heritage building projects. Developers and contractors are not likely to be customers during early stages of development, but could be key material suppliers through donations and surplus stock.

Explore the three Circular Construction Hub models below.

A retail focused, customer facing marketplace where reclaimed and surplus construction materials are sold directly to DIYers, self-builders, small contractors and the general public. Glasgow City identified as the strongest location to host this model given its large population, high concentration of construction activity, and city location. 

Circular Market Hub iconography overlayed on image of construction materials

A logistics and wholesale centre receiving large volumes of materials from contractors and developers, for distribution to local businesses/projects, providing a consistent material supply and demonstrating the wider social and environmental benefits of reuse. North Lanarkshire may be better suited to this model given availabilty of larger sites and logistical networks.

Circular Distribution Hubs overlayed on image of moving lorry on road

A specialist hub dedicated to the recovery, preservation and supply of traditional and historic building materials for repair and conservation. Supporting homeowners, contractors, conservation organisations, local authorities and designers in the repair of historic buildings, it provides access to reclaimed heritage materials. Glasgow City or North Lanarkshire are potential locations.

Circular heritage hubs iconography overlayed on image of building with scaffolding

National upscaling

Through the Scottish showcase, our ambition is to prepare a CCH upscaling pathway leading to a national network of CCHs and related reuse businesses. This network would include new and existing reuse businesses, helping to build a diverse ecosystem of hubs and related businesses and initiatives serving local needs. 

Our findings suggest growth, beginning with a pre-seed CCH pilot to test operations, build partnerships and establish supply chains. Future phases would then see local "spokes" added through collaboration with existing businesses and reuse initiatives, creating coordinated regional networks, which could then be replicated across Scotland to form a national hub-and-spoke system. 

We will also explore opportunities in areas which may have supportive conditions for future CCH activity, including potential opportunities in urban, rural, and island communities, ensuring any final model complements, supports and collaborates with the excellent work already being undertaken across the sector.  

Person in a woodworking workshop carrying a large panel among timber and furniture materials.

Next steps

Through the CirCoFin feasibility stage, we have established outline Circular Construction Hub (CCH) models, initial locations, and an upscaling pathway towards a pilot and subsequent national roll out strategy in Scotland. Though insights currently indicate supportive conditions, there is recognition further analysis is required to determine what forms of CCH would be economically viable, and if there is sufficient interest from potential operators, funders and customers to establish pilot activities.  

The next phase is Project Appraisal, which will focus on validating feasibility findings, and expanding engagement in initial locations to develop a clearer understanding of current levels of interest and economic viability. These next steps include:  

  • Market research to understand customer demand and material supply
  • Financial modelling
  • Scoping of potential operators and partnerships
  • Structured stakeholder engagement to include investors
  • Further assessment of upscaling conditions in other areas of Scotland

A final Due Diligence and Bankability stage will carry out a full assessment of investment readiness and economic viability, which is likely to determine the likelihood of pilot activity, and the future direction of the proposed roll out strategy across Scotland.

The CirCoFin project also aligns with Scotland's Built Environment Roadmap to Circularity, supporting wider efforts to increase construction material reuse and accelerate the circular economy.  

Downloads

Access the full suite of CirCofin documents below. 

Circular Construction Hub Feasibility Study for Scotland – Scottish Showcase Summary Report

A summary version of the feasibility study findings for the potential of a Circular Construction Hub (CCH) in Scotland, an EU Horizon funded project.  

Exploring Circular Construction Opportunities Across Glasgow, Falkirk and North Lanarkshire​  

This report presents findings from two stakeholder workshops held in Glasgow in April 2026 and in Cumbernauld in May 2026 to explore opportunities for Circular Construction Hubs (CCHs), in Glasgow, North Lanarkshire and Falkirk.   

Exploring_Circular_Construction_Opportunities_Glasgow_Falkirk_North_Lanarkshire_August_2026.pdf

Construction Material Flow Analysis

A pilot methodology identifying opportunities for circularity in Scotland’s built environment.

Construction_Material_Flow_Analysis_Methodology_Pilot_August_2026.pdf

Supplementary Data Map of Construction and Demolition Across Scotland

This report surveys available data sources on construction and ​​​​​​demolition across Scotland and analyses activity across all 32 local authorities. The findings support the CirCoFin project's objective of enabling material flow forecasting for circular construction planning.

CircoFin_Construction_Demolition_Supplementary_Data_Map_August_2026.pdf

CirCoFin Disclaimer: Funded by the European Union. Views and opinions expressed are however those of the author(s) only and do not necessarily reflect those of the Euro pean Union or the Research Executive Agency (REA). Neither the European Union nor the granting authority can be held responsible for them.

©CirCoFin Consortium, 2025 Reproduction is authorised provided the source is acknowledged.