The United Kingdom’s Competition and Markets Authority (CMA) has issued new guidance making clear that retailers, brands and manufacturers may be held legally accountable if they sell products carrying false or misleading environmental claims, even when those claims originate upstream in the supply chain.

Under the updated guidance, companies across the value chain are obligated to ensure that any green claims — including those they repeat or pass on — are accurate, substantiated and not misleading under consumer protection law.

The CMA clarified that a business “may be deemed to be repeating an environmental claim where it stocks a product,” meaning retailers could face liability alongside manufacturers if a claim about a product’s environmental attribute — such as “eco-friendly” or similar — proves to be false or unsupported.

To help businesses comply, the guidance includes practical checklists urging retailers to secure evidence from suppliers before advertising or selling products and asking manufacturers to provide documentation such as product composition data, test results and independent verification.

The regulator also advised that companies should reconsider their trading relationships if suppliers cannot provide verification for environmental claims, noting that “genuine attempts to comply with the law may… be considered a mitigating factor” in enforcement actions.

The move comes against heightened regulatory scrutiny of greenwashing practices and reinforces expectations that all parties in the supply chain share responsibility for the truthfulness of sustainability claims presented to consumers.