Introduction to the Fashion Industry’s Sustainability Crisis
The United Kingdom risks undermining global efforts to clean up the fashion industry unless it overhauls outdated and incomplete regulations, warns a major new white paper. The report, compiled by the campaign group Fashion Declares and the law firm Bates Wells, calls for three key reforms: closing tax loopholes exploited by ultra-fast fashion giants, introducing new fees to hold brands accountable for textile waste, and implementing clear labeling to reveal the environmental costs of clothing.
The Need for Reform
The authors argue that these reforms are essential to protect British retailers from overseas competitors and prevent the industry from embracing "exploitative, disposable business models" that prioritize cheap imports and polluted supply chains. Without change, the UK will miss a rare opportunity to lead the way in sustainable fashion in a post-Brexit economy.
Key Proposals
The white paper, titled "The Future of Fashion in the UK," proposes three key reforms:
- Closing the de-minimis tax exemption, which allows retailers to import low-value goods into the UK without paying tax.
- Introducing an Extended Producer Responsibility (EPR) scheme for textiles, which would hold brands accountable for the waste generated by their products.
- Implementing digital product passports, which would provide consumers with information about the environmental and social impact of their clothing.
Tackling Fast Fashion
One of the central proposals is to terminate the de-minimis tax exemption, which has created an uneven playing field and enabled the rise of ultra-fast fashion. The white paper suggests replacing this system with a "damage-based" import system, which would reflect the true environmental and social costs of a piece of clothing.
Brands Pay for What They Produce
The paper also proposes introducing an EPR scheme for textiles, which would require brands to pay for the waste generated by their products. The fees would be designed to incentivize brands to produce durable, repairable clothing, while those that flood the market with low-quality items would pay more.
Pulling Back the Curtain on Supply Chains
The third proposal is to introduce digital product passports, which would provide consumers with information about the materials, production processes, and sustainability data of their clothing. This would enable consumers to make informed choices and hold brands accountable for their environmental and social impact.
Progress and Challenges
The conversation around sustainable fashion has come a long way in recent years, but there is still much work to be done. The white paper highlights the need to recognize the inequality and racist injustice embedded in global supply chains and to address these issues through policy changes.
Next Steps
The white paper is being shared with stakeholders and MPs, with the aim of using it as a springboard for broader legislative change. The next steps will be to collect feedback, build momentum, and ultimately present the government with proposals for reform.