Many UK businesses breathed a sigh of relief when the EU scrapped its Green Claims Directive in June 2025. That relief was premature. Green claims compliance in 2026 is more demanding — with the ECGT enforcing from 27 September 2026 and CMA direct fining powers already live.

Product-level 'carbon neutral' claims based on offsetting are banned in the EU from September 2026, and the ASA has been ruling against them in the UK for two years. If this phrase appears on your packaging or advertising, here's what you need to do.

The CMA published new guidance in January 2026 making clear that UK businesses can be held liable for green claims made by their suppliers. Here's what changed and what you need to do.