CMA’s New Green Claim Guidance for Fashion Brands:
What Businesses Need to Know?

The UK's Competition and Markets Authority (CMA) has issued a new compliance guide for fashion brands in September 2024 to ensure adherence to the Green Claims Code. This guide represents a significant step in preventing misleading environmental claims in the fashion retail sector.The initiative builds upon the CMA's 2022 investigation into sustainability claims in the fashion industry, demonstrating the authority's continued commitment to tackling greenwashing. The enforcement framework will be significantly strengthened by the forthcoming Digital Markets, Competition and Consumers Act 2024, which grants the CMA enhanced powers to impose substantial penalties - up to 10% of worldwide turnover - for consumer law violations.

CMA’s Guidance for Fashion Brands:The new compliance guide provides practical tips for fashion brands. Key highlights include:

Must Do

Clear and Accurate ClaimsMake all claims truthful, clear, and verifiable with evidencePresent important information prominently and in plain languageAvoid hiding information behind hyperlinks or QR codesPlace key information close to environmental claimsProvide specific percentages when claiming recycled or organic content, and support with certificatesProduct InformationDescribe fabrics precisely using objective properties (e.g., "recycled polyester" rather than "eco-friendly polyester")Clearly state any consumer actions required for environmental benefitsProvide clear criteria for environmental product rangesDocumentation and VerificationHave robust evidence to support all environmental claims before making themVerify suppliers' environmental claims with proper certificationImplement internal processes to check product listings and claims accuracy

Must Not Do

Misleading ClaimsUse broad, unclear terms like "sustainable," "green," or "eco-friendly" without specific evidenceHide important information behind hyperlinks or QR codesMake misleading comparisons without clear basisVisual ElementsUse misleading imagery, logos, or icons that exaggerate environmental benefitsCreate misleading impressions through website filters and navigation toolsProduct DescriptionsClaim a product is entirely made of sustainable materials if only partially trueMake environmental claims about specific lifecycle aspects without clear explanationUse unsubstantiated corporate environmental targets in marketing

Learn more from the complete guidance from CMA: Complying with consumer law when making environmental claims in the fashion retail sector - GOV.UK

Make all claims truthful, clear, and verifiable with evidence

What’s Next for Businesses?For businesses operating or selling products in the UK, these developments mean stricter scrutiny of sustainability claims. Brands must ensure that their marketing / product claim practices align with the new guidelines to avoid potential fines and reputational damage. Audit existing product sustainability claimsReview and update all marketing communicationsGathe robust scientific evidence to support environmental statementsImplement testing, verification for all green claimsBV Solution for Green Claims Bureau Veritas offers an end-to-end solution to help businesses navigate and comply with global green claim regulations.Education and AwarenessRegulatory training for teamsTesting, Verification & Certification solutions to build credible, substantiated claimsTesting service for various claim types Sustainable Claim Certifications such as TE/GOTs, Better CottonBV Green Mark Certification Program to scientifically validate the sustainability aspect of products such as carbon footprint, chemical content, biodegradability, durability.Streamline sustainability claim validation workflow with Sustainable Claim Verification service – support you to review, and validate your vendors submitted claim proof documents before use in a centralized platform.

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CMA’s New Green Claim Guidance for Fashion Brands:What Businesses Need to Know?

CMA’s New Green Claim Guidance for Fashion Brands:
What Businesses Need to Know?