Concerned with how social innovation and macro-level social policies can complement and mutually reinforce one another to promote social inclusion and equality, this article develops a case study of the Furniture Re-Use Network (FRN), a large network of re-use non-profits in the United Kingdom. The article explores the development, policy embedding and future challenges of the FRN in relation to public policies and welfare reform. Our study shows how this development is particular to the UK welfare regime legacy and how current austerity politics and a lack of recognition by the government for potential cross-departmental value creation by re-use non-profits hampers the sector’s development.