Sustainability Briefing — 7 August 2026
The European Commission's targeted EU ETS revision and the EEA's findings on circular business models both point to the practical mechanics of Europe's green transition: financing industrial decarbonisation while ensuring smaller firms and non-mainstream innovators can fairly access growing markets like rental and leasing, which expanded significantly between 2021 and 2023.
EEA sets out how smaller firms can scale circular business models
In assessments published in 2026, the EEA finds that widespread scaling of circular business models in Europe is not yet evident, and that fair access for SMEs, informal actors and non-mainstream innovators is central to a just transition. It notes that EU companies renting and leasing personal and household goods grew 13% between 2021 and 2023 to over 46,000 active businesses, with turnover rising 26% to EUR 21 billion.
Commission proposes targeted revision of the EU Emissions Trading System
On 17 July 2026, the European Commission proposed a targeted revision of the EU ETS to support delivery of the EU's 2040 climate target. The proposal includes a new Industrial Decarbonisation Bank and Investment Booster, updated rules on free allocation and the Carbon Border Adjustment Mechanism, and a gradual extension of emissions trading to municipal waste incineration.