Green Claims & The DMCC Act: Practical Steps to Ensure Compliance
In the first two articles of this series, we explored the arrival of the DMCC Act's enhanced consumer protection powers and delved into the specific types of misleading environmental claims – or greenwashing – that are now firmly under the regulatory spotlight (and carry significant risk). We've covered the what and the why; now it's time to focus on the how.
Understanding the rules and the potential pitfalls is essential, but it’s proactive steps and robust processes that will truly protect your business and build authentic citizen trust. Complacency is not an option, as the Competition and Markets Authority (CMA) now has the power to act decisively against non-compliant claims.
So, what practical measures should your business be taking right now to ensure your environmental claims are accurate, substantiated, and compliant with the strengthened regulations?
Digging Deeper: Which Green Claims Are Now High-Risk Under the DMCC Act?
In my previous post, I introduced the significant changes brought by the Digital Markets, Competition and Consumers (DMCC) Act, particularly the new powers granted to the Competition and Markets Authority (CMA) to crack down on greenwashing, which came into force last week. I discussed why this matters – the erosion of citizen trust and the unfair disadvantage faced by genuinely sustainable businesses when vague or misleading environmental claims run rampant.
Now, it’s time to delve into the specifics. What kinds of claims and marketing practices are likely to attract the CMA’s attention under this enhanced regulatory framework? While the DMCC Act provides the overarching legal power to tackle 'unfair commercial practices' (which includes misleading environmental claims), the CMA’s existing Green Claims Code (published in 2021) gives us the clearest indication of the principles they apply and the practices they deem problematic. The new Act essentially gives the CMA sharper teeth to enforce these principles.
The Greenwashing Crackdown is Here: Understanding the DMCC Act's New Consumer Powers
The DMCC Act's new consumer laws target greenwashing from this week.
Understand the crackdown, the CMA's enhanced powers, and how to ensure your environmental claims are accurate and avoid fines. Essential insights for UK businesses on compliant, sustainable marketing under the new regulations.