Green Claims Code: How UK Cafes Can Market Sustainability Without Risking Fines

Since 6 April 2025, the Competition and Markets Authority (CMA) has direct enforcement powers under the Digital Markets, Competition and Consumers (DMCC) Act to fine UK businesses up to £300,000 or 10% of global annual turnover, whichever is higher, for misleading green claims. For a UK cafe chain turning over £5m, that is theoretically £500,000. The CMA's Green Claims Code sets six principles you have to satisfy. The ASA's April 2025 rulings against Lavazza and Dualit show how the rules are being enforced in practice. This guide is what UK cafe operators need to know to keep menus, social posts and packaging copy on the right side.

At a glance: the new compliance landscape

What the DMCC Act actually changed in 2025

Before April 2025, misleading environmental claims went through the ASA - voluntary self-regulation with no fining power, just adjudication and shaming. The DMCC Act folded the old Consumer Protection from Unfair Trading Regulations into a new statutory regime and handed the CMA the enforcement tools, summarised in Reed Smith's analysis and Provenance's compliance briefing.

Three practical changes:

• Direct fines. The CMA no longer needs to go to court. It can investigate, issue a Provisional Infringement Notice (PIN), and impose a fine. Maximum: £300,000 or 10% of global annual turnover, whichever is higher.
• Lower investigation threshold. The CMA can open an investigation on "reasonable suspicion" - it does not need a complaint first.
• Scope covers all consumer-facing material. Packaging, menus, in-store signage, social media, website copy, paid ads. If a customer sees it, it's in scope.

The ASA continues to handle most day-to-day advertising complaints; the CMA is the heavy hitter for systemic or repeated misleading practice.

The six Green Claims Code principles, in plain English

The CMA's Green Claims Code sets six principles. Every consumer-facing environmental claim a cafe makes should pass all six.

The April 2025 ASA rulings: Lavazza and Dualit

The clearest precedent for what "compliant" looks like comes from two ASA rulings on 30 April 2025. Packaging Insights' summary sets out the detail.

Lavazza (coffee pods). Lavazza advertised "compostable capsules" without clarifying they were industrial composting only. The ASA upheld the complaint because the ad ran in a consumer/home context where readers would reasonably assume "compostable" meant "home compostable". Ad banned.

Dualit (coffee bags). Same pattern. "Compostable coffee bags" in a home-use context without specifying industrial composting was misleading. Ad banned.

What this means for a UK cafe:

• "Compostable" alone is not enough. Add "home" or "industrial" qualifier.
• If you mark a product compostable on your menu or signage, tell customers where to dispose of it. "Compost at home" or "Industrial composting only - place in general waste if no facility" both work.
• The context matters. A consumer-facing ad has a higher bar than a B2B trade sheet, because consumers don't know the difference between EN 13432 and OK Compost HOME.

Six specific claims and how to phrase them safely

A worked example: a cafe rebrand to "100% eco packaging"

Imagine a UK cafe relaunching with banner copy "100% eco packaging" across the menu, signage and Instagram. Three risks under the Green Claims Code:

1. "100%" is a precise claim. If even one line in the cafe is PE-lined paper, the claim is false. Audit the full range: cups, lids, sleeves, bags, napkins, cutlery, stirrers, takeaway boxes, straws, sauce pots.
2. "Eco" is a vague claim. Replace with specific certifications: "FSC paperboard, EN 13432 compostable bagasse, aqueous-lined PE-free cups".
3. Lifecycle and end-of-life context. If your local council does not industrial compost, customers can't compost the cup. The honest version: "All single-use packaging recyclable or compostable - check your local council for end-of-life options".

The compliant version reads less crisp than "100% eco" but lands inside Principles 1, 2, 3 and 6, and stands up to challenge.

The cafe operator's six-point checklist

1. Audit consumer-facing claims. Pull every claim off menus, signage, packaging, website, social, paid ads. Make a list.
2. For each claim, name the evidence. Which certification? Which supplier declaration? Which lab test? If you cannot name the evidence, drop or weaken the claim.
3. Specify home vs industrial for every compostable claim. The Lavazza/Dualit precedent makes this non-negotiable in consumer contexts.
4. Specify infrastructure context for recyclable claims. "Subject to local kerbside" or "recyclable where facilities exist" is the standard wording.
5. Update your supplier contract. Add a clause requiring suppliers to provide current evidence to support any environmental claim made about their product. You need this in case of CMA challenge.
6. Train your staff. If a customer asks "is this cup recyclable?", the answer should be specific and accurate. Lavazza/Dualit show that mismatched expectations are the heart of misleading-claim findings.

How Element supports compliance

We carry test reports, EN 13432 / OK Compost certificates and PFAS-free declarations for every line where the claim is part of the product spec. When you ask for it, we provide it. Three specific supports we offer trade customers:

• Per-SKU compliance pack. Test reports, certifications, end-of-life routing - the bundle you need if challenged.
• Pre-approved menu copy. Suggested wording for each product line that satisfies the Green Claims Code.
• Alert service. When regulations or certification standards change, we tell you what it means for the lines you stock.

Best for: where compliance risk is highest by cafe type

Frequently asked questions

What is the Green Claims Code?
The CMA's six-principle framework for environmental claims in advertising and on products. Live since 2021 in voluntary form; backed by the DMCC Act since April 2025 with direct fining powers.

How much can the CMA fine my cafe?
Up to £300,000 or 10% of global annual turnover, whichever is higher. For a £5m turnover business, that's up to £500,000.

Does this apply to social media posts?
Yes. Any consumer-facing claim - menu, signage, Instagram, TikTok, website, paid ads, in-store - falls under the same rules.

Can I still say "compostable" on my cup?
Yes, with the right qualifier. "Industrial compostable to EN 13432" or "home compostable to OK Compost HOME" both work. "Compostable" alone in a consumer context risks the same fate as the Lavazza and Dualit ads in April 2025.

What about "plastic-free"?
Safe if your packaging contains zero plastic. PLA-lined cups are NOT plastic-free because PLA is a plastic polymer; aqueous-lined cups can be. Verify before claiming.

Do I need to keep evidence for past claims?
Yes. The CMA can ask for evidence supporting claims made in advertising over the past several years. Maintain supplier test reports and certificates as part of your standard procurement file.

What's the difference between ASA and CMA enforcement?
The ASA handles individual advertising complaints with voluntary remedies (ad banned, public ruling). The CMA handles systemic or repeated misleading practice with statutory fines under the DMCC Act. Both apply.

Is there safe harbour wording I can use?
Specific, certificated, contextual claims are the safest. Replace "eco" with the actual property (compostable / recyclable / FSC / EN 13432); replace "100%" claims with audited percentages; replace "better for the planet" with the specific environmental gain ("replaces 5,000 plastic cups a week").

The DMCC Act and CMA Green Claims Code raised the stakes on environmental marketing for UK cafes. The route through is specific, evidenced, context-aware claims - not weaker claims. We supply certified compostable, recyclable and PE-free packaging with the certification packs that back up the language on your menu. Browse our full range or ask us for compliance copy on any line.