Green Claims and Greenwashing: Why Evidence Will Define Compliance After 2026

Green claims without evidence are about to become one of the biggest compliance risks facing European businesses.

From 27 September 2026, organisations making environmental claims that cannot be properly substantiated may face fines of up to €10 million per undocumented claim under the EU’s strengthened Green Claims regime. This shift marks a decisive move by regulators: greenwashing is no longer a marketing problem it’s a legal, financial and governance issue.

For companies operating across Europe, the message is clear. Every sustainability statement must be accurate, verifiable and defensible.

What is Changing in Green Claims Regulation?

The EU’s crackdown on greenwashing significantly raises the bar for environmental communications.

Regulators will be empowered to sanction every generic or unsupported green claim, wherever it appears, including:

Company websites
Product labels and packaging
ESG and sustainability reports
Investor presentations
Public tenders and procurement submissions
Job adverts and employer branding materials

Each individual claim can be assessed and penalised independently. For organisations with large digital footprints or complex product portfolios, this creates cumulative regulatory exposure.

How Big Is the Risk?

The scale of the issue is already well documented. Research suggests that 42% of green claims made in Europe are exaggerated, false or misleading (1).

This means nearly half of all environmental statements currently in circulation may fail to meet upcoming compliance standards. As enforcement approaches, regulators are expected to focus not only on intentional greenwashing, but also on poor evidence, vague language and missing governance processes.

Why Greenwashing Can No Longer Be “Fixed Later”

Historically, sustainability communications have often evolved faster than the data behind them. Claims were published first, and evidence was assembled (if at all) afterwards.

Under the new rules, that approach becomes untenable.

Claims must be substantiated before publication
Evidence must be structured, documented and retrievable
Governance controls must prevent non‑compliant statements from going live

Once a claim is public, it is already a compliance risk.

A Structured Path From Risk to Compliance

We guide companies from risk to compliance in a structured way.

1. Claim Audit

Every environmental claim across the organisation is identified and assessed. Each claim is assigned a risk score, creating a clear, board‑level view of exposure and priorities.

2. Evidence Library

Each claim is backed by verifiable, structured evidence - data, calculations, methodologies and sources that can withstand regulatory scrutiny. This becomes the backbone of defensibility.

3. Claim Rewording

Vague or absolute language is replaced with precise, measurable and compliant wording, ensuring claims accurately reflect what the evidence can support - no more, no less.

4. Governance Model

Controls are embedded into your business processes so new claims are reviewed before publication. Risks are flagged early, preventing non‑compliance at source.

Why Legal, ESG and Communication Teams Must Work Together

One of the most common causes of green‑claims failure is siloed responsibility.

Successful compliance sits at the intersection of three disciplines and this collaboration is delivered by BIP:

Legal expertise to validate claims against EU Directive 2024/825 and related enforcement guidance
ESG expertise to build and maintain the evidence that underpins each claim
Communication expertise to ensure claims remain credible and compelling, not stripped of meaning by compliance

Our disciplines operate together, ensuring that your claims are both defensible and persuasive.

Why Acting Now Creates Competitive Advantage

With just months remaining until 27 September 2026, late action dramatically increases risk. Early action, however, offers tangible upside.

Work with us now to:

Reduce legal and financial exposure
Strengthen trust with customers and investors
Improve internal ESG data quality and governance
Differentiate yourselves in tenders and procurement

In a market increasingly shaped by transparency and accountability, credible sustainability claims become a business asset, not just a compliance requirement.

The Bottom Line

Green claims will soon be regulated with the same rigour as financial statements. Evidence, governance and precision are no longer optional.

Those who treat greenwashing compliance as a strategic transformation rather than a last‑minute edit will be best placed to navigate enforcement.