Snapshot
ReLondon’s grant programme supported 10 London food business innovators in reducing food waste and enhancing access to local, healthy food. With funding of up to £15,000 each, we supported these businesses to strengthen supply chains and generate future-ready jobs, while advancing London’s circular food system.
This programme exemplifies how giving circular innovators relatively small, flexible grants can transform supply chains and drive future-proof employment opportunities. As a result of the programme, 70% of grantees reported improved business health within 6 months, with nearly half creating or safeguarding jobs that require key sustainability skills.
What was the opportunity?
We need to improve London’s food system. Today, it accounts for over 10% of the capital’s consumption-based emissions, generates high levels of food waste, and fails to offer healthy food for many people.
Small businesses are part of the solution to accelerate the transition to a healthier, low-carbon food system. London already has a strong basis of innovators who are working to eliminate food loss and waste, create value from food waste, or improve access to locally grown food.
To nurture this growing ecosystem, ReLondon leveraged £134,450 of UK Shared Prosperity funding to invest in small food businesses working to bring this vision to life.
What was the response?
ReLondon designed a grant programme to support promising solutions to scale their operations and impact. 10 London-based businesses were selected based on their alignment to a circular food system vision, and their potential to create positive environmental and business impact.
Applications for funding were 3x times oversubscribed, signalling the high number of established circular innovators in London, and their need for funding to scale.
ReLondon was impressed with the diversity of business founders within this sector, with 80% of the final cohort led by women, 50% led by individuals from Black, Asian or minority ethnic groups, and 10% led with individuals self-identifying with disabilities.
The selection process involved the Food Flagship Initiative, a collaboration between ReLondon, the Mayor of London and the Ellen MacArthur Foundation, to ensure that the programme addressed public and private sector needs.
Alongside funding, we provided grantees with six months of light-touch support, networking and visibility, such as through initiatives like offering the businesses Circular Food Pioneer Project status and connecting them to the Ellen MacArthur Foundation’s business community.
Mike Haskamp Angry Monk, Co-FounderThe prestige of being awarded a grant by ReLondon has enabled us to boost our credibility in our presentation / sales materials, social media, and general marketing.
Andy King Limetrack, Co-FounderIn addition to the financial support, [the highlight] has been building connections with the ReLondon team, whose skills and focus span multiple sectors and stakeholders.
What were the outcomes?
Businesses were able to deploy the funds flexibly, typically with a view to scale their business’ throughput or operational capacity. Grants were invested in salaries, equipment, marketing and contractor activities, and in some cases adjusted as projects went on.
Grantees successfully scaled circular practices across the food industry. They collaborated with wholesalers, manufacturers, and commercial kitchens to repurpose food waste, resulting in new products like crackers and natural dyes. Partnerships with regional farms rescued surplus produce, while other businesses focused on bringing lower-carbon, nutritious food to more Londoners, or helped divert food waste by turning it into bio-fuel through anaerobic digestion.
In many cases, these business models avoid or displace the carbon emissions associated with the food industry, such as those linked to agriculture (where food is grown but not eaten) or certain end-of-life practices (landfill).
After six months, 70% of grantees reported improved business health, and the remaining 30% expect this outcome in future. Half of the supported businesses saw increased customer traction, whether in customer and/or revenue growth. These outcomes demonstrate how targeted support can unlock start-ups’ ability to tap into industry’s demand for food waste solutions.
Seven businesses used the funding to increase skills for staff or customers, with 5.5 permanent, London Living Wage jobs created or safeguarded – demonstrating how these businesses can create sustainable employment opportunities.
Spotlights
nibs etc.
Brought a new cracker product to market, doubling the amount of juice pulp saved with their industry partners, and successfully secured a contract with Whole Foods to reach more customers across London.
Onboarded five British farms to their ‘Grower direct surplus’ programme, distributing three tonnes of nutritious produce to commercial kitchens, restaurants, and schools – making fresh fruit and vegetables more accessible to children and adults across London.
Increased deliveries of veggie boxes with a branded electric van, becoming more visible around Hackney while reducing transport emissions. They will soon start deliveries by e-cargo bike, further reducing emissions and enabling home deliveries to those unable to pick up from collection points.
Grew their team and expanded their subscription service of regeneratively grown vegetables and flowers to new areas (Woolwich and Kidbrooke), as well as reusing materials from local networks that would otherwise have gone to waste, such as flower buckets from florists.
Improved the biogas yield of their anaerobic digestor and developed in-house skills to drive down future design and development costs to help unlock the urban market for micro anaerobic digestors.
What was learned?
1. Sector-focused grants drive transformational change
Targeting a specific sector meant that we could support a mix of high-tech and low-tech solutions that reinforce each other – with greater potential for systems-level change. It also increased opportunities for grantees to collaborate because they could share resources and insights – two businesses were even able to secure a shared warehouse space.
2. A small investment can unlock circular business opportunities that maximise impact
Small grants, when offered upfront and managed flexibly, can yield significant returns. ReLondon’s approach helps innovators manage cash flow, adapt to unexpected challenges, and seize new opportunities. For example, nibs etc. achieved their cracker product launch within 6-months – a milestone that they would have not been able to reach without the grant. And LEAP Micro AD, when confronted with project delays, were able to adapt by bringing on more technical resource and ultimately arrive at a better solution.
Emily Taylor SAGES, CEOWe have found useful connections through the other grant recipients which have allowed us to expand our network.
Chloe Dunnett Sitopia Farm, Founder and Chief Growing OfficerThe grant has been transformational for us. It has enabled us to recruit a new, experienced Head of Growth, […] and freed up our Founder and Chief Growing Officer to further develop our social enterprise. […] The impact will continue to grow during the remainder of the year and beyond.
3. Creating impact takes time – and circular innovators are poised to deliver
In just six months, businesses achieved customer growth, launched new products, and enhanced their equipment – setting them up for long-term success. In the case of The Ferm, the grant supported them to secure SALSA accreditation, allowing for a five-fold increase in production capacity, and establishing a strong foundation for continued growth.
While the tonnages and traction achieved to date is impressive, we recognise that it only represents a fraction of the scale of the issue. We hope these grants have provided the stepping stone for these solutions to grow and match the scale of the challenge.
What’s next?
ReLondon will continue to support and monitor the grantees through our business community and Circular Economy Matchmaker, facilitating ongoing partnerships and integration into London’s circular economy ecosystem.
ReLondon’s next sector-specific grant programme for circular innovators is underway: The ReWear grants help grow businesses who are displacing Londoners’ need for newly made clothes, building on insights from our London’s Fashion Footprint report.
To explore how you can partner with ReLondon to tackle sector-specific issues through innovation grants, get in touch: business@relondon.gov.uk
