The competition regulator’s tougher approach to greenwashing risks retailers pulling back on their sustainability efforts, British Retail Consortium boss Helen Dickinson has warned.
Her comments to The Times come as the CMA said it had secured “landmark changes” following a probe into eco-friendly claims made by Asos, Boohoo and George at Asda about some of their clothing.
The fashion retailers have now agreed to clarify the way they display, describe and promote environmental credentials, including setting out the minimum requirements for their environmental collections so clothing is not marketed or labelled as part of an environmental range unless it meets all the relevant criteria.
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Dickinson warned that although she recognised the need for businesses to be more transparent about their processes, there was “a real risk they will pull back and not feel confident to shout about the things they are doing well”.
She said there was work for the CMA to “make sure there is clarity for what is expected” from businesses and “work for retailers to make sure they can stand behind what they’re saying and live up to the claims they’re making”.
The regulator is also investigating claims made in the fast-moving consumer goods sector as it seeks to ensure that shoppers are not being misled about their eco-friendly credentials.
A CMA spokeswoman told the publication: “A key part of our green claims work is helping businesses to understand and comply with their legal responsibilities when making environmental claims.
“That’s why we created the green claims code — a detailed set of principles, with case studies, that helps businesses talk about their environmental actions in a clear and accurate way.
“As we move forward with our work in this area, we’ll continue to engage with businesses.”
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