Green claims: which environmental claims are banned and how to substantiate the rest

Be specific, have the evidence before you publish and show the limits of what you claim.

In this topic: Sustainable business 11

A green claim you cannot prove is now a legal risk as well as a reputational one

Which environmental claims are banned or risky in the EU, UK, US, Canada and Australia, and how to back up the claims you keep.

Green claims sell, which is why regulators read them closely. The packaging designer proposes a leaf, the word "eco" and "climate neutral" on the front. The sales team wants "the most sustainable supplier in the region" on the website. In the EU several of those claims became banned practices from 27 September 2026 (source: EUR-Lex, February 2024), and regulators in the UK, North America and Australia treat vague or unproven claims as misleading.

The rules do not stop you talking about real improvements. They ask you to be specific, to have the evidence before you publish and to show the limits of what you claim.

What counts as a green claim?

A green claim, or environmental claim, is any message suggesting that a product, service or business is good for the environment or less harmful than an alternative. That includes words, but also logos, colours, product names, labels, comparisons and future targets. Regulators judge the overall impression an ordinary customer gets, beyond the literal text.

EU law separates out the generic environmental claim: a claim such as "green" or "eco-friendly" that is not part of a sustainability label and whose specification is not given in clear and prominent terms on the same medium (source: EUR-Lex, February 2024). Put the explanation next to the claim, not behind a link in the footer.

Which green claims are banned in the EU?

A directive on consumers in the green transition added environmental practices to the EU blacklist of unfair commercial practices, the list of practices that are banned in all circumstances. Member states had to apply it from 27 September 2026 (source: EUR-Lex, February 2024).

Now banned in the EUWhat you can do instead
A generic claim such as "eco-friendly" without recognised excellent environmental performance relevant to the claimMake a specific claim and give the evidence next to it, such as the share of recycled material
A sustainability label that is not based on a certification scheme or set by a public authorityUse a certified label, or describe your own commitments as text rather than as a seal
A claim about the whole product or business when it concerns only one aspectName the aspect: the packaging, one ingredient, one site
A claim that a product is neutral, reduced or positive in greenhouse gas emissions because of offsettingReport your own reductions; describe funding for climate projects separately, as a contribution
Presenting what the law requires of all products as a special featureAdvertise only what goes beyond the legal minimum

Claims about future performance, such as a net zero target, are also restricted. They need clear, public and verifiable commitments in a detailed and realistic implementation plan with measurable, time-bound targets, regularly checked by an independent expert whose findings are available to consumers (source: EUR-Lex, February 2024).

National law and consumer focus

The directive works through each member state's consumer law, and enforcement sits with national authorities. It targets claims made to consumers, but a claim you make to a retailer often ends up on the shelf. Check the implementing law in the countries where you sell.

What happened to the EU Green Claims Directive?

In 2023 the Commission proposed a separate directive with detailed rules for substantiating claims and having them checked before use. It has not been adopted, and the Commission's own page lists it as pending (source: European Commission, October 2026). Do not wait for it: the blacklist already applies, and the general ban on misleading claims always has.

Green claims rules compared: UK, US, Canada and Australia

MarketMain rule and regulatorWhat it means in practice
European UnionBlacklist and misleading-practice rules in national consumer law, enforced by national authoritiesThe bans above, plus the general test of whether a claim misleads
United KingdomGreen Claims Code of the Competition and Markets Authority (CMA), based on consumer protection law; the ASA for advertisingSix principles: truthful and accurate, clear and unambiguous, nothing important omitted, fair comparisons, full life cycle, substantiated. The CMA can now decide breaches itself and fine up to 10% of global turnover (source: GOV.UK, April 2025)
United StatesGreen Guides of the Federal Trade Commission, last revised in 2012; a review opened in 2022 has not yet produced new guidesAvoid unqualified general claims; substantiation often requires competent and reliable scientific evidence; specific guidance on offsets and recyclable claims
CanadaCompetition Act, enforced by the Competition BureauProduct claims need adequate and proper testing, business claims adequate and proper substantiation. The extra requirement to use an internationally recognised methodology was removed in March 2026 (source: Competition Bureau Canada, June 2026)
AustraliaAustralian Consumer Law, enforced by the ACCCFalse or misleading claims are illegal; the ACCC's eight principles include having evidence, avoiding broad unqualified claims and making sure visuals do not mislead

Check your own country:

  • Which law and regulator: consumer protection law, advertising codes and any sector rules for your products.
  • Which claims are banned outright: some markets have a blacklist, others judge case by case.
  • Which evidence standard: tests, recognised methods or independent verification.
  • What enforcement looks like: fines decided by the regulator, court cases, or orders to correct.

These rules are changing in several markets, so check the regulator's page before a campaign.

How do you substantiate a green claim?

The heavier the claim, the heavier the evidence. A narrow claim about one material needs a certificate; a broad claim about climate impact needs a full life cycle assessment to the ISO standards for life cycle assessment.

Type of claimExampleEvidence you need
Specific attributeBox made from recycled cardboardSupplier certificate or test report
ComparisonLess plastic than our previous bottleFigures for both, same method, reference named in the claim
Broad or life-cycle claimLower climate impact than a standard productLife cycle assessment, preferably reviewed independently
Future targetNet zero by a given yearPublic plan with interim targets and independent verification
LabelA recognised ecolabel on the packValid certificate and licence from the scheme
  1. 01

    Write the claim precisely

    What exactly is better, which part of the product, compared with what, and over which period.

  2. 02

    Check the whole life cycle

    Make sure a gain in one place does not hide a larger impact elsewhere.

  3. 03

    Collect the evidence first

    Certificates, test reports or calculations must exist before the claim is published.

  4. 04

    Put the qualification next to the claim

    On the pack or in the advert itself, in readable type.

  5. 05

    Log it with a review date

    Keep a claims file: wording, evidence, owner and the date the evidence expires.

Example: rewriting the claims of a cleaning-products brand

Fernhollow Home makes cleaning products with 18 staff and sells through retailers and its own webshop. Marketing lead Priya Lal reviews the four claims on its best-selling spray.

Old claimProblemNew claim
Eco-friendly cleanerGeneric, no recognised excellent performanceReadily biodegradable in a standard laboratory test, report on our website
Climate neutral, CO2 compensatedNeutrality based on offsettingEmissions from our own production down 18% since 2023; we also fund certified forest projects
Half the plasticNo reference, wrong figure20% less plastic than our previous bottle: 32 g instead of 40 g
Green leaf seal "Fernhollow Green Choice"Own label without certificationSeal removed; the facts stay as text

Fictitious Firmfocus example: company, claims and figures are invented.

The figures behind the new claims: the bottle went from 40 g to 32 g, so (40 - 32) / 40 = 20% less plastic, and on 120,000 bottles a year that saves 120,000 x 8 g = 960 kg. Emissions from own production fell from 62 t to 51 t, so 11 / 62 = 17.7%, rounded to 18%. The forest projects stay in the communication, but as a contribution, not as a reason to call the product neutral.

Small brand or larger company: what changes?

Small brand with a few products

Keep one or two specific claims you can prove with supplier documents. Drop vague words and home-made seals, and check supplier claims before repeating them.

Larger brand, retailer or trade supplier

Set up a claims register with legal review, a label policy and a life cycle assessment for headline claims. Brief agencies and sales teams, and align claims with the figures in your sustainability reporting.

Green claims checklist and common pitfalls

Check every claim before it goes live:

  • Specific: no "eco", "green" or "sustainable" without the facts next to it.
  • Scope: the claim says whether it covers the product, a part or the packaging.
  • Evidence on file: certificate, test or calculation dated before publication.
  • Comparison named: against what, measured the same way.
  • No offset neutrality: no "neutral" or "compensated" claims based on offsets.
  • Labels certified: only seals from certification schemes or public authorities.
  • Visuals checked: leaves, globes and green colours do not suggest more than the text.
  • Future claims planned: targets backed by a public plan and independent checks.

Two pitfalls recur. Accurate claims can still add up to a misleading overall picture when a few green products dominate the marketing of a mostly conventional range. And claims age: when a supplier or product changes, the evidence may no longer fit.

Green claims belong with the other rules under sustainable business. Claims on packaging meet the new packaging rules, and a claim is easier to defend when it is part of your sustainability strategy. For fashion brands, see also starting a clothing store.

Can I still call my product climate neutral?
Not in the EU if the claim relies on offsetting emissions, which is now a banned practice towards consumers. You can report the reductions you achieved yourself and mention climate projects you fund as a separate contribution. Elsewhere such claims are not banned outright but need strong evidence.
Is "recyclable" a safe claim?
Only if the packaging is actually collected and recycled where you sell it, not merely technically recyclable. The US Green Guides tie unqualified recyclable claims to the availability of recycling facilities, and other regulators apply similar logic. Say which part is recyclable and where.
Are home-made sustainability labels still allowed?
In the EU, a sustainability label shown to consumers must be based on a certification scheme or set by a public authority. A home-made seal does not qualify. You can still describe your own commitments in plain text.
Do the rules cover claims about my company, not just products?
Yes. The EU blacklist covers claims about a trader's entire business, Canada's law covers claims about a business or business activity, and the UK and Australian guidance apply to claims about businesses as well as products.
Business Planner

Plan your product claims and promotion in the marketing chapter


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