What are environmental claims?

Environmental or ‘green’ claims are statements made by companies about the environmental benefits or attributes of their products (goods and services). These claims can relate to aspects like sustainability, recyclability, carbon footprint, or the use of renewable resources.

Why are environmental claims important?

Environmental claims are important because they can influence purchasing decisions. They can also drive market competition for ‘green’ products, encouraging companies to adopt more sustainable practices and reduce their environmental impact over time.

What is greenwashing?

Greenwashing is the practice of making false, misleading, or exaggerated environmental claims to appear more environmentally friendly than reality. It deceives consumers and can undermine genuine environmental efforts by other companies.

What are some examples of ‘greenwashing’?

Using vague terms like “eco-friendly”, "green" or “sustainable” 

• Making claims without specific evidence (e.g., low-carbon footprint)

• Highlighting a minor positive feature (e.g., reduced plastic packaging) while ignoring more significant environmental impacts (e.g., deforestation)

• Stating a false product improvement, such as ‘50% less packaging’ when no such improvement was made

What legislation governs environmental claims?

Environmental claims are subject to specific regulations that vary by country. For instance:

• The UK currently has no specific legislation for green claims. However, general requirements are specified under consumer protection law, which is enforced by the Advertising Standards Agency (ASA).

• In the EU, misleading environmental claims are governed by the Unfair Commercial Practices Directive (UCPD) as part of broader consumer protection laws. However, the upcoming Green Claims Directive focuses solely on tackling misleading or unsubstantiated claims.

• The Federal Trade Commission (FTC) provides Green Guides to advise businesses on avoiding deceptive environmental claims in the US.

What are the penalties for making false environmental claims?

Penalties for making false or misleading environmental claims vary by jurisdiction but can include fines, corrective advertising, and other sanctions. Companies often also face reputational damage and loss of consumer trust.

How can companies ensure their environmental claims are compliant with legislation?

Companies can ensure compliance by:

• Providing clear, accurate, and substantiated claims.

• Using recognised certifications and labels.

• Regularly reviewing and updating their claims based on the latest scientific and regulatory developments.

• Consulting with legal and environmental experts like Yordas

How can consumers identify reliable environmental claims?

Consumers can:

• Look for specific, quantifiable claims rather than vague statements

• Check for third-party certifications from reputable organisations

• Research the company's environmental record by reviewing their website and searching to see whether there have been negative environmental press releases 

• Be wary of claims that seem too good to be true! An awareness of common greenwashing tactics and healthy scepticism towards vague claims.

How can yordas help?

Get in touch with us today to learn how we can help your business achieve its sustainability goals. To learn more about environmental claims, greenwashing or our other sustainability-related services, visit our website. You can also sign up for our newsletter for industry updates and insightful tips on meeting your regulatory obligations.

About our experts

Damon Waterworth, Senior Sustainability Consultant

Damon leads Yordas’ sustainability division encompassing the delivery of life cycle assessment, ecolabelling, management systems and auditing services. He is a member of the BSI committee for LCA ISO standards and has recently developed the Royal Society of Chemistry accredited e-learning course: “A Practical Guide to Conducting a Life Cycle Assessment”. Damon holds a Master of Science degree in Energy and Environmental Management from Lancaster University and a Bachelor’s degree in Geography from the University of Chester.