Compliance requirements: Key considerations for retail and wholesale
Navigating the world of sustainability compliance can be tricky, especially as regulations become more stringent in the retail and wholesale sectors.
A primary concern is the increasing focus on waste management and recycling. The Extended Producer Responsibility (EPR) regulations, for example, require businesses to take responsibility for the packaging waste they create, which has significant implications for retailers and wholesalers(1). These regulations aim to make producers more accountable for their environmental impact and encourage better design of products and packaging that are easier to recycle or reuse.
Retailers and wholesalers are also faced with the growing need to comply with energy efficiency standards. The Energy Savings Opportunity Scheme (ESOS) mandates that larger companies regularly assess their energy usage and implement measures to improve energy efficiency(2). Failure to comply with these assessments can result in hefty fines, which makes it critical for businesses to actively monitor and adjust their energy consumption practices.
In addition to waste and energy regulations, many businesses in the sector are now subject to carbon emissions reporting requirements. As part of the UK’s goal to achieve net-zero emissions by 2050, some retail and wholesale businesses are now required to report their carbon emissions, particularly if they meet certain turnover thresholds(3).
This not only helps monitor progress toward national emissions targets but also ensures that businesses remain accountable for their environmental impacts.
Moreover, as the government continues to implement stricter sustainability regulations, businesses will need to invest in new technologies and practices to remain compliant. Adopting sustainable practices now not only helps meet regulatory standards but can also improve operational efficiency, reduce costs, and enhance a company’s reputation among increasingly eco-conscious consumers
Bibliography
1 Extended producer responsibility for packaging: who is affected and what to do (Accessed May 2025) https://www.gov.uk/guidance/extended-producer-responsibility-for-packaging-who-is-affected-and-what-to-do
2 Energy Savings Opportunity Scheme (Accessed May 2025) https://www.gov.uk/guidance/energy-savings-opportunity-scheme-esos
3 Environmental reporting guidelines: including Streamlined Energy and Carbon Reporting requirements (Accessed May 2025) https://www.gov.uk/government/publications/environmental-reporting-guidelines-including-mandatory-greenhouse-gas-emissions-reporting-guidance