Starting April 6th, the UK’s Competition and Markets Authority (CMA) is stepping up its game with tougher penalties for brands caught greenwashing—aka making misleading environmental claims. Thanks to the Digital Markets, Competition and Consumers (DMCC) Act, companies found guilty of deception could face fines of up to 10% of their global annual turnover.
For context? Fast-fashion giant Boohoo, which pulled in £1.46 billion in 2024, could be looking at a £146 million fine if its sustainability claims don’t check out. That’s a serious financial hit.
No More Vague Buzzwords
Fashion brands love throwing around terms like “eco-friendly” and “sustainable”, but under this law, they’ll need hard proof to back them up. The Green Claims Code already forced retailers like ASOS, Boohoo, and Asda to clean up their marketing, but now the CMA can act without needing court approval—meaning faster crackdowns on misleading claims.
Why This Matters
A 2021 report found 60% of sustainability claims in fashion were misleading or unverified. A YouGov survey shows over half of UK consumers consider a brand’s eco-credentials before buying.
Brands risk huge financial penalties and serious reputational damage if caught lying.
The bottom line?
Fashion companies need to walk the talk—or risk being exposed. The brands that prove their green credentials with transparent, data-backed sustainability efforts will be the ones that win consumer trust in this new era of accountability.
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