Burberry said: "We continue to invest in communities, from supporting young people in disadvantaged areas of London and Yorkshire, to developing a more inclusive and sustainable cashmere industry in Afghanistan".
On Thursday, the company said it would cease burning stock immediately.
At the time, Burberry said it only destroyed items that carried its trademark and only worked with specialist companies which were able to harness the energy from the process.
Earlier this year Respect for Animals launched a campaign urging supporters and members of the public to write to Burberry urging the company to drop fur from its range. Burberry was not alone in this practice.
The British Fashion Council (BFC) made the announcement after asking the 80 designers featured in the program whether they will be showing real fur.
Chief executive Marco Gobbetti added: "Modern luxury means being socially and environmentally responsible".
'It's high time for the whole fashion industry to start dealing with overstock at its source - by slowing down production and rethinking the way it does business.' Burberry is thought to be the first major company to publicly end the practice of destroying unwanted products.
Burberry has grappled with issues around its brand image before.
Luxury companies have responded to criticism by pledging to use a greater portion of their steep markups to fund efforts to clean up their supply chains.
Gobbetti, a veteran of the luxury industry, became chief executive a year ago, and has since unveiled an ambitious plan to overhaul company practices and take the business more upmarket. There will also be no real fur in Riccardo Tisci's debut collection, which is due to be revealed later this month.
The decision to stop destroying unsold items takes the rebranding effort one step further. Burberry, known for its tartans and trench coats, became the face of the practice in recent months after disclosing it had destroyed nearly $37 million (29 million pounds) in goods a year ago - a revelation that piqued investors' ire at the London-based company's annual meeting in July.
The fashion label is also establishing the Burberry material Futures Research Group that together with the Royal College of Art will invent new materials that are sustainable.
Burberry's September 17 runway show will mark the debut collection for new creative chief Riccardo Tisci, who replaced Christopher Bailey at the helm.