Found on montane and lowland heathlands and on nutrient-poor soils. This species is richly branched with the tips recurved in the same direction. In Britain Cladonia arbuscula has been separated into two subspecies arbuscula and squarrosa; the latter appears to be the dominant and more common. Recent molecular data suggests that the distinction between the two subspecies is blurred.

References: 
Smith, C.W. et al. editors (2009) The Lichens of Great Britain and Irelandd
Dobson, F.S. (2018) Lichens: an Illustrated Guide to the British and Irish Species
Ahti, Stenroos & Moberg. editors (2013) Nordic Lichen Flora. Volume 5 Cladoniaceae