Crafting routes to a circular economy

Europe’s rich cultural heritage and strong creative industries not only reflect our past but also shape our future. It is by building on this foundation and developing our strengths that we can face the great challenges of our time with confidence and shape a desirable common future. Europe's cultural heritage originates from the interaction between people and places through time and is constantly evolving^[1]. Every citizen has a right to engage with the cultural heritage of their choice, while respecting the rights and freedoms of others, as an aspect of the right to participate freely in cultural life^[2].

Europe’s diverse tangible and intangible cultural heritage and dynamic cultural and creative industries (CCIs) are strategic assets. They enrich our lives, foster social cohesion and societal resilience, and contribute to a sense of belonging. They underpin a growing economy that generates more employment than the automotive industry and a similar trade balance as food, drinks and tobacco combined. Many of Europe’s multinational companies build their international success on European heritage and creativity. At the same time, the sector is nurturing large numbers of dynamic small, medium (SMEs) and micro enterprises, creating employment not the least for young people, while deploying their creativity not only to generate income but also to contribute to social and cultural sustainability, wellbeing and to projecting European values at home and abroad. The cultural and creative industries are engines of innovation not only in themselves, but across the entire economy, thus contributing strongly to Europe’s overall competitiveness and future prosperity.

This destination adopts a people-centred perspective and places cultural heritage and the cultural and creative industries at the very heart of the European economy, its competitiveness and sustainability. R&I activities under this destination will be aligned with the main principles and objectives of the Culture Compass for Europe and support objectives such as circular and just fashion and textiles value-chains, social cohesion and resilience through arts, design and cultural practices and creative entrepreneurial ecosystems for regional development. R&I activities under this destination will support and strengthen European cultural heritage and cultural and creative industries essentially along the following lines:

Europe’s sustainable prosperity and competitiveness: To secure Europe’s future prosperity and competitiveness, it is necessary to unlock the innovative power of our cultural heritage and CCIs. The CCIs contribute strongly to drive innovation not only in themselves but also in other industries and economic sectors, shape new technologies and can contribute to user-driven innovation, open innovation and cross-sectoral innovation, in addition to their wider societal contributions such as to cultural wealth, social cohesion and resilience.

R&I actions under this area will focus on boosting the innovation-driving role of the CCIs, on creative startups, on the impact of artificial intelligence technologies on creativity and CCIs, while ensuring that new technologies are fairly deployed, along with the contributions of artistic intelligence and soft skills, boosting a circular economy and global partnerships in cultural policies and CCIs, among other things.

Supporting people, strengthening our societies and our social model: Cultural heritage, the arts and the CCIs have a crucial role to play for resilient and socially sustainable societies, shaping and strengthening the values that hold us together and give meaning and a sense of belonging.

R&I actions under this area will focus on boosting the role of culture, the arts and creative industries in contributing to well-being, to the social economy and in general the societal impact of cultural heritage. R&I actions will explore and strengthen the role of culture, heritage and CCIs in shaping the technologies of the future and focus on safeguarding intangible heritage and linguistic diversity, on sustainable cultural tourism and on countering illicit trafficking of cultural goods, among others.

Some actions funded under this Destination will need access to and/or generate data. Where appropriate, actions should leverage the data and services available through European Research Infrastructures federated under the European Open Science Cloud or included in the European Strategy Forum on Research Infrastructures (ESFRI) and the ESFRI roadmap, as well as data from relevant European Data Spaces. In particular, projects that produce data or digital tools of potential interest to cultural heritage institutions or researchers should, as appropriate, establish links to and/or consider integrating their results in the European Collaborative Cloud for Cultural Heritage (ECCCH)^[3].Particular efforts should be made to ensure that the data produced in the context of actions under this Destination is FAIR (Findable, Accessible, Interoperable and Re-usable).

The innovation ecosystems created and nurtured by the Knowledge and Innovation Communities (KICs) of the European Institute of Innovation and Technology (EIT), in particular the KIC “EIT Culture and Creativity”, may contribute to actions under this destination, and may as appropriate be considered by applicants. Furthermore, applicants are invited to consult funding opportunities in other parts of the Horizon Europe Work Programme, including for instance the funding opportunities for companies, high potential start-ups, entrepreneurs and innovative researchers offered under the European Innovation Council.

R&I actions under this Destination will help ensure Europe’s sustainable prosperity and competitiveness, support people, strengthening our societies and our social model, contribute to protecting our democracy, upholding our values and boosting a global Europe, leveraging our power and partnerships. They will contribute to reaching the UN Sustainable Development Goals and to building a stronger, more participatory and crisis-resilient society and economy. They will support the realisation of the full potential of cultural heritage, arts and cultural and creative industries as drivers of sustainable innovation and a European sense of belonging.

To maximise the impacts of R&I under this Destination in line with EU priorities, international cooperation is encouraged whenever relevant in the proposed topics.

Expected impact:

Proposals for topics under this Destination should set out a credible pathway to contributing to the following expected impact of the Horizon Europe Strategic Plan:

• The full potential of cultural heritage, arts and cultural and creative industries and sectors as drivers of both sustainable innovation and a European sense of belonging is realised through a continuous engagement with society, citizens and economic sectors.

[1] Council conclusions of 21 May 2014 on cultural heritage as a strategic resource for a sustainable Europe (2014/C 183/08) https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52014XG0614(08)

[2] CETS 199 - Council of Europe Framework Convention on the Value of Cultural Heritage for Society (coe.int)

[3] See further for instance https://research-and-innovation.ec.europa.eu/research-area/social-sciences-and-humanities/cultural-heritage-and-cultural-and-creative-industries-ccis/cultural-heritage-cloud_en

Expected Outcome:

Projects should contribute to all of the following expected outcomes:

• The cultural dimension of circular economy is better understood. Cultural factors and the potential of cultural and creative sectors and industries (CCSI) are leveraged to foster circular economy in the EU
• Scalable, sustainable and inclusive business models are developed with users and stakeholders, leveraging circular practices from CCSI for economic and environmental benefits (e.g. nature protection, reducing waste, increasing resource efficiency, promoting sustainable consumption and re-use patterns).
• Circular solution toolkit: A practical toolkit enables businesses in various sectors to apply CCSI-inspired frugal innovation principles, promoting circularity, sustainability and inclusion.
• Evidence-based recommendations and guidelines are available to policymakers to support the transition towards circular practices in CCSI and across other industries and to integrate frugal innovation^[1] in circular economy strategies. They emphasize local adaptations of global strategies, allowing for customized approaches that respect and enhance local cultures, heritage and economies.
• Skills Enhancement: Training modules on frugal innovation, circular design, and circular economy practices inspired by crafts, local heritage and other CCSI are available to professionals in various industries.

Scope:

The transition from a linear to a circular economy^[2] is crucial for Europe’s prosperity, long term competitiveness and strategic autonomy. This shift can reduce dependence on raw materials, decrease greenhouse gas emissions, pollution, and waste, limit biodiversity loss, create jobs, and support environmental sustainability. The New European Innovation Agenda^[3] recognises circularity as a key challenge to accelerate innovation across the EU. Securing essential resources is a high priority, but the transition to circularity requires more than new materials and products: it demands a paradigm shift and a systemic approach that combines different sectors, technological progress, actors, and disciplines with deeper industrial, economic, and societal changes. In advancing a circular economy and society, cultural dimensions are paramount; and cultural barriers can be as significant as economic or technical ones and should be addressed.

CCSIs can act as catalysts for change. Through storytelling and community engagement, they can reshape cognitive frameworks, influence consumer attitudes, and promote societal shifts towards circular principles. They can encourage other industries, such as manufacturing (including textile and fashion), tourism, or construction (including housing and urban development) to adopt circular approaches, promoting resource efficiency and designing for longevity and adaptability. Despite their potential, cultural aspects remain underexplored in circular economy strategies. This topic aims to investigate effective strategies and synergies between culture, creativity, and the circular economy, to inform policy, enhance education and lifelong learning, and inspire innovation. The goal is to develop robust frameworks supporting economic, environmental, and social sustainability across Europe, fostering an environment where culture, creativity, and economy combine to form resilient circular systems and societies. Where relevant, synergies with the New European Bauhaus may also be considered.

Proposals may address one or more of the following four focuses and may combine them with others as appropriate to their objectives.

Focus 1. Crafts-led innovation for circular economy

Crafts naturally align with circular economy principles through their use of natural, renewable materials, small scale tools and production, and the creation of durable products with cultural significance. Integrating circular economy concepts with craftsmanship helps address sustainability challenges, preserve cultural heritage and foster local economic development. Craft practices exemplify frugal innovation by efficiently using local resources and minimising waste, offering valuable insights for other sectors seeking to improve sustainability and resource efficiency. Key aspects of the relationship between crafts and the circular economy include traditional knowledge systems rooted in generations of sustainable, place-based practices; local resource utilisation promoting efficiency; and upcycling and waste reduction through creative reuse of materials.

Furthermore, craftmanship is key part of the value chain in high-end industries such as fashion and textiles, with potential synergies to enhance sustainability and the use of recycled, reused and renewable materials and to foster circular and just fashion and textiles value-chains, supporting innovative approaches.

By leveraging circular economy and frugal innovation principles, craft practices offer affordable, accessible, inclusive and equitable solutions to sustainability challenges, emphasizing local resources and community-based production.

Collaborative, open innovation approaches can unlock creative solutions that promote a more sustainable, inclusive, and resource-efficient future.

Proposals should develop a framework integrating circular economy and frugal innovation principles derived from craft practices, applicable and adaptable across various industries and sectors. This includes models for cross-sector collaboration and knowledge transfer among craft practitioners, designers, researchers, and industry professionals to drive circular innovation, foster capacity building, and ensure equitable access to sustainable solutions.

Proposals may consider UNESCO Creative Cities, in particular the City of Crafts and Folk Arts.

Focus 2 Evaluating adaptive reuse of built cultural heritage

Cultural heritage buildings are vital for their historical and cultural significance, embodying the identity of local communities. At the same time, the built environment is a major driver of material demand, with significant economic, environmental and wellbeing impacts.^[4] The Built4People SRIA^[5] highlights the need for R&I in retrofitting and repair, including heritage buildings, using vernacular, bio-based, locally sourced materials, or innovative materials compatible with vernacular ones. The EU Circular Cities and Regions Initiative identifies adaptive reuse of cultural heritage as key to urban sustainability and resilience.^[6] There is a need for systematic urban planning transforming building lifecycles from linear to circular models, leveraging cultural heritage to improve energy efficiency, reduce waste, and generate cultural, economic, social and environmental benefits. Participatory planning is crucial for achieving circularity, as are indicators for measuring impact. Adaptive reuse also delivers economic value as heritage sites attract visitors, support local businesses, and foster vibrant cultural economies, making cultural participation central to sustainable urban regeneration and the circular economy. Integrating service design approaches can further connect adaptive reuse of heritage buildings with stakeholders and enhance cultural services and community activities.

Proposals should develop methodologies to evaluate the economic, social and environmental benefits of maintaining and reusing built heritage. They should establish criteria and indicators for assessing cultural heritage’s contribution to circular city objectives, including energy and resource efficiency, waste reduction, social cohesion and economic sustainability, and explore evaluation tools for innovative circular financing, business and governance models for adaptive reuse of cultural heritage.

Focus 3. Food heritage and gastronomic innovation for circular futures

Food is deeply connected to cultural and creative sectors through gastronomic heritage, food-related crafts, and intangible traditions that shape cultural identities. Addressing food’s cultural dimensions offers unique opportunities to advance circular economy principles. Food heritage promotes local sourcing, biodiversity, and waste reduction, while culinary tourism and creative food initiatives drive sustainable growth and cross-sectoral innovation. Proposals should develop a framework to integrate circular economy principles into gastronomy and food heritage and devise transferable methodologies linking food-related creativity with sustainable practices. Proposals might consider UNESCO Creative Cities, in particular the City of Gastronomy.

Focus 4. Designing circularity: creative pathways and open innovation

Design is pivotal in the transition to a circular economy, underpinning three principles: eliminating waste and pollution, circulating products and materials, and regenerating nature. By applying these principles, designers create durable, repairable, and recyclable products and services, aligned with circular economy goals. The fashion industry pioneered upcycling and make-to-order models, producing items only on demand to reduce overproduction and waste. Such models, alongside product-as-a-service, sharing economy initiatives, or closed-loop production systems, offer adaptable strategies for other sectors to enhance circularity. The dynamic creative sector catalyses innovation, serving as a platform to experiment with circular design approaches across creative and non-creative sectors, including open innovation practices.

Proposals should develop a comprehensive framework for integrating circular economy principles into design processes across cultural and creative industries, guiding designers to minimise waste and maximise resource efficiency. A collaborative environment should facilitate sharing circular design practices and transferring innovative solutions across industries.

[1] “The frugal innovation process is a problem-oriented, creative approach to problem solving which starts from user needs and works from the bottom up to develop contextually appropriate solutions. It tends to be frugal both in ends and means,” Study on frugal innovation and reengineering of traditional techniques,2017 https://op.europa.eu/en/publication-detail/-/publication/20d6095a-2a44-11e7-ab65-01aa75ed71a1 , see also https://op.europa.eu/en/publication-detail/-/publication/639c142b-f260-11ef-981b-01aa75ed71a1/language-en

[2] “The circular economy is a model of production and consumption, which involves sharing, leasing, reusing, repairing, refurbishing and recycling existing materials and products as long as possible. In this way, the life cycle of products is extended. In practice, it implies reducing waste to a minimum.”

https://www.europarl.europa.eu/topics/en/article/20151201STO05603/circular-economy-definition-importance-and-benefits

[3] The New European Innovation Agenda - European Commission

[4] http://unep.org/resources/Global-Resource-Outlook-2024

[5] https://www.kowi.de/Portaldata/2/Resources/heu/coop/he-built4people-sria-2022-27.pdf

[6] https://circular-cities-and-regions.ec.europa.eu/support-materials/papers-and-reports. On this topic, see also the Urban Agenda for the EU https://ec.europa.eu/futurium/en/system/files/ged/sustainable_circular_reuse_of_spaces_and_buildings_handbook.pdf