The Competition and Markets Authority (CMA) has issued a warning to 17 fashion brands to ensure they are not misleading consumers with green claims in their marketing. The CMA sent letters to these brands urging them to review their practices around sustainability. Concerns raised include the use of vague terms and the misrepresentation of certain products within “eco” ranges. While the CMA has not taken enforcement action against these brands yet, it aims to create a level playing field in the fashion industry by promoting transparent and accurate green claims.
Consumer demand for sustainable products has prompted brands to promote their goods as eco-friendly, even if only certain aspects of their supply chain are environmentally friendly. In response to this trend, the CMA has developed a compliance guide to help fashion businesses navigate consumer law related to green claims. This initiative aims to build trust with consumers seeking to make environmentally conscious purchases.
The move comes following the CMA’s investigation into popular fashion retailers Asos, Boohoo, and George at Asda in 2022. These three companies, collectively generating over £4 billion annually from UK fashion sales, committed to using accurate and clear green claims, especially in their sustainable product ranges. The CMA’s interim senior director of consumer protection, Hayley Fletcher, emphasised the importance of transparent practices in promoting green credentials.
Fletcher stated that all fashion companies, regardless of their size or market segment, must be truthful with their customers to avoid potential enforcement action. By providing guidance to fashion retailers, the CMA aims to ensure that green claims are not misleading and that businesses are complying with consumer protection laws. The watchdog encourages fashion brands to utilise the compliance guide to align their marketing practices with legal standards.
While the CMA has refrained from naming the 17 brands currently under scrutiny, its proactive approach underscores the importance of promoting integrity and accuracy in sustainability claims within the fashion industry. As consumer awareness of environmental issues grows, regulators like the CMA play a pivotal role in safeguarding the credibility of green marketing initiatives.