The environmental effects of fast fashion

Fashion has become prevalent in how it has changed the way consumers purchase goods. Alongside the rise of e-commerce, the demand for instant gratification and access to the latest trends has rapidly increased the industry’s global market share. But what impact has this had on the planet?

In this blog, we consider the issues of fast fashion, review the laws surrounding it in the UK, question whether fashion brands can ever become sustainable, and explore opportunities for improvement.

What is fast fashion?

Fast fashion is a term used to describe a business model that involves rapid design, production, and distribution, allowing retailers to deliver large quantities of products within a shorter timeframe, thereby providing consumers with a wider choice at a reduced cost. However, this model encourages consumers to purchase more cheap, low-quality ‘trendy’ items, wear them a few times, and then discard them.

The term was first used by the New York Times in the early 1990s when a number of ‘new brands entered the US market, with the aim of compacting the time for a garment to go from design to being sold in store. In more recent years, the term “fast fashion” has faced challenges around its environmental impact. The United Nations Conference on Trade and Development considers fashion to be the second most polluting industry in the world.

How does fast fashion affect the planet?

Consumers’ desire for new clothing items to keep up with ever-changing trends has created a demand that impacts the supply chain and the natural environment. The pressure on fashion brands to shorten lead times encourages poor-quality manufacturing, causing garments to wear out faster and leading to a wasteful business model. Globally, it is estimated that 92 million tonnes of textile waste is produced every year, equating to a lorry-load of used clothing being burned or buried in landfills every second. By 2030, this is expected to increase to 134 million tonnes annually.

Textile waste is not the only environmental impact. The energy-intensive process of making synthetic fibres for garments requires vast amounts of energy. The mass production of cotton is also not environmentally friendly, given the use of pesticides and fertilisers, as well as irrigation required to grow it. The fast fashion industry accounts for nearly 10% of global carbon emissions, which is more than aviation and shipping combined.

According to the UN Environmental Programme, nearly 20% of global wastewater results from textile dyeing, making it the world’s second-largest polluter of water, affecting ecosystems as waste is discharged into streams or rivers. On average, it requires 700 gallons of water to produce one cotton shirt.

The industry also faces societal and ethical issues – particularly in less economically developed countries where there can be marked differences in working conditions, low wages, long hours, and inadequate workers’ rights. Furthermore, with growing focus on sustainability among consumers and other stakeholders, fashion brands can face the risk of using misleading or exaggerated claims about their environmental initiatives – a practice known as ‘greenwashing’. Find out more about how to avoid greenwashing with these practical tips. Many ‘sustainable’ collections use polyester made from recycled plastic bottles which, according to the pressure group Changing Markets Foundation, is a ‘false solution’ failing to make the necessary improvements for true sustainability. This has coined the term greenwashing.

Are there any laws governing fast fashion?

Currently, there are no specific laws regulating fast fashion in the UK. However, several laws apply to the industry, such as the Modern Slavery Act 2015 and the Employment Rights Act (ERA) 1996. Additionally, organisations like the Competition and Markets Authority (CMA) investigate claims of greenwashing.

Modern Slavery Act 2015

The UK Modern Slavery Act 2015 sets out legal requirements for how organisations must address and report on modern slavery. There are two main requirements:

• Take action to identify, prevent, and mitigate modern slavery in operations and supply chains.
• Publish an annual statement on these actions within six months of the company’s financial year-end.

Four years on, the provisions of the Modern Slavery Act must keep up with the ever-evolving threats of modern slavery, as well as the needs of the victims it is designed to protect.

Employment Rights Act 1996

The Employment Rights Act 1996 governs employer-employee relationships across the UK. Large companies are required to take steps to ensure there is no forced labour or exploitation within their supply chains. However, the fashion industry is largely unregulated regarding the conditions of its supply chains. This is because many large fashion brands typically use third-party suppliers rather than owning their factories. Although third-party suppliers are required to comply with the ERA, retailers are not liable if a supplier breaches the law.

Competition and Markets Authority (CMA)

The CMA published its Green Claims Code in September 2021, aiming to help businesses understand how to communicate their green credentials while avoiding misleading shoppers. The CMA has investigated eco-friendly and sustainability claims made by a number of high-street retailers about their clothing. Language used by brands can create a false narrative, causing consumers to think they have ‘bought green’ when in fact, they have been misinformed.

What can be done about fast fashion?

Most current efforts to encourage ‘slow’ fashion come from organisations and education rather than legislation.

The Sustainable Clothing Action Plan (SCAP) – led by Defra – brings together organisations from across the fashion industry to improve sustainability. SCAP coordinates nearly 300 key fashion stakeholders who significantly impact the market. SCAP helps improve environmental performance across supply chains, consumption trends, behaviours, awareness, market drivers, and traceability.

Additionally, many organisations have created platforms enabling consumers to rent products for one-time use at a fraction of the product’s cost. This encourages higher-quality items to be rented rather than consumers buying a low-quality garment and discarding it after one wear. These platforms also make it more affordable for consumers to access high-quality garments, promoting a ‘slow’ fashion framework.

Furthermore, some fashion brands have started enforcing a new rule by charging customers for returns. The latest brand to implement this initiative is ASOS plc, which charges customers with high return rates a fee of £3.95 deducted from their refunds. This measure addresses the challenge of making free returns more sustainable by discouraging frequent returns.

Moreover, educating brands and consumers about the global impact of fast fashion can help drive change. Sustainable fashion focuses on creating and using garments in a way that benefits both the environment and the workers involved, while remaining accessible to the average consumer.

Evolving a more sustainable approach

The main resistance to making the fashion industry more sustainable is the cost. Fashion brands aim for low costs to maximise profit margins, while consumers seek low prices. However, both fashion brands and consumers are becoming more aware of the importance of ESG (Environmental, Social, and Governance) within the industry. This awareness gives hope that consumers are changing their purchasing habits due to environmental and ethical concerns and are putting pressure on fast fashion brands to change their priorities. Ultimately, mitigating the impact on the planet will require action across the entire industry and at all stages of the clothing lifecycle.

How can we help?

Our ESG team brings together lead professionals from each of the main areas that support ESG matters: environment and sustainability, business and human rights, corporate governance, employment law and commercial contracts.

If you need help navigating the evolving world of sustainability and environmental law, please contact sustainability partner Ben Stansfield.