Why the end of the Green Claims Directive doesn’t give the green light to greenwashing

It can seem like a lot to keep on top of green regulation – especially when the goalposts seem to be shifting.
But don’t let that keep you from telling your sustainability story.
Take the recent shock news that the EU is withdrawing its planned Green Claims Directive, which was intended to address companies making false claims about their sustainability activity.
The European Commission says this move is about coming up with simpler rules. The timing isn’t great, though, as the US rolls back environmental regulation and major companies soften their targets. The EU’s environmental leadership has long set the direction of travel for policymakers and businesses in the UK and around the world, so dropping such high-profile legislation is a move that sends mixed signals at a time when credibility and consistency are most needed.
Happily, the EU’s U-turn doesn’t mean a green light for greenwashing.
It’s still important to make sure your sustainability claims are legit.
In the UK, nothing has changed. The proposed EU rules would only have covered businesses of a certain size, but misleading green claims are already prohibited in the UK under the DMCC Act. This consumer protection legislation, which came into effect in April this year, empowers the Competition and Markets Authority (CMA) to fine companies misleading the public, including false environmental claims or even using branding and imagery (such as leaves or green branding) that imply a product is more sustainable than it is.
The bottom line? The need for transparency and accuracy isn’t going away.
Businesses must back up their sustainability claims with robust, honest evidence.
That may seem daunting, especially for small businesses without a dedicated sustainability team. And for many, the collapse of the Green Claims Directive will make things more confusing, not less. Without cohesive rules, it’s left for businesses to interpret any guidance they can, while also balancing consumer trust and stakeholder motivations.
That’s why it’s crucial to look for support.
Our goal is to offer UK businesses that support.
We believe that every business has a sustainability story to tell. Telling that story with authenticity and authority can unlock new opportunities, revenue, contracts and investments.
At Brace For Impact, we help small businesses talk about sustainability confidently, without greenwash or overwhelm.
Ready to talk about how we can help your business use your sustainability story to win more work?