Eco-Consciousness: From Global Goals to Commercial Strategy

October 15th 2025

Sustainability has moved from the margins to the mainstream. What began as a set of global ambitions under the UN’s Sustainable Development Goals Strategy has evolved into binding legislation across many parts of the world.

For British furniture businesses, this shift is no longer theoretical. It is reshaping procurement, packaging and supply chain relationships - fast.

The UK’s Net Zero Strategy 2050 and the Climate Change Act began to influence domestic operations a few years back.

Meanwhile, the EU keeps rolling out a suite of regulations that will directly affect UK exporters and indirectly shape market expectations. Among the most impactful are the EU Deforestation-Free Regulation 2023 (“EUDR”), the UK’s Packaging Extended Producer Responsibility (“PERP”) scheme, and the EU Corporate Sustainability Due Diligence Directive 2024 (“CSDDD”). Together, they signal a new era of accountability - one where eco-consciousness must be embedded not just in values, but in overall operations and governance.

EUDR: Deforestation-Free, Not Just Legally Harvested

The EUDR replaces the EU Timber Regulation 2010 (“EUTR”) - the “big brother” of GB Illegal Timber Regulation 2010 (“UKTR”) - and introduces a far more rigorous framework.

While UKTR demands the legality of timber harvesting under local laws, EUDR goes further. It requires proof that products placed on the European market are not only legal but also free from links to deforestation or forest degradation, even if deforestation is permitted under the law of origin.

EUDR covers timber, rubber, leather, soy, palm oil, cocoa and coffee. For furniture businesses, this means that almost everything from raw wood (with some exceptions, like bamboo and rattan) to mainstream timber products and finished articles may fall within scope. Recycled materials, second-hand furniture, transport-only packaging, product samples and products for testing are excluded.

EUDR classifies market participants as either “operators” (a person first placing products into the EU) or “traders” (a person other than an “operator” making products available in the EU).  Operators are under stricter obligations than traders.

“Operators” placing products on the EU market must submit due diligence statements (“DDS”) via the EU TRACES system, including geolocation data pinpointing the exact plot of land where the material was harvested, confirming compliance of the sourced materials with the de-forestation requirements of EUDR. They must also demonstrate compliance with local environmental, land use and human rights laws.

“Traders” further down the supply chain are also subject to obligations, though micro and small enterprises benefit from delayed deadlines and lighter reporting obligations.

EUDR compliance deadlines are set for December 2025 for large businesses and June 2026 for SMEs. The EUTR will be repealed at the end of 2027, marking a full transition to the new framework.

Although the UK is currently designated as a low-risk country under the EUDR, this does not exempt UK businesses from due diligence. Exporters must still provide geolocation and legality evidence to EU partners, often as a condition of sale. The dual burden of UKTR and EUDR compliance means that businesses must be meticulous in separating and accounting under both regimes.

PERP: Packaging Accountability at Home

Closer to home, PERP is reshaping how businesses handle packaging waste. Effective from January, PERP shifts the financial and reporting burden onto qualifying businesses who use packaging for their activities.  Businesses with an annual turnover exceeding £1million and supplying more than 25 tonnes of packaging into the UK over the preceding calendar year are in scope.

Qualifying furniture businesses must now report packaging volumes by material type and pay modulated fees based on recyclability. Materials like wooden crates, foam inserts, and plastic wraps may attract higher fees unless they are reused or recycled. Accurate labelling and data submission are essential, and joining a compliance scheme can help streamline the process.

This is not just a regulatory shift but also a commercial one. Packaging choices now carry direct cost implications, and businesses that adapt early will be better positioned to manage margins and meet customer expectations.

EU Corporate Sustainability Directive 2024 (“CSDDD”): Future Signals

CSDDD introduces a legal duty for large companies to identify, prevent, and mitigate adverse human rights and environmental impacts across their operations and supply chains.

From 2028, in-scope businesses will be required to assess risks such as forced labour, deforestation, pollution and land rights and not just within their own operations, but across their downstream supply chain partners. They will need to embed these assessments into governance structures and publish transition plans aligned with CSDDD goals.

While most British furniture SMEs will not be directly subject to CSDDD, many will be indirectly affected. EU-based clients and partners may begin requesting documentation, traceability data, and evidence of ethical sourcing as part of their own compliance obligations.

For SMEs, this is less about legal exposure and more about commercial readiness. Early alignment through supplier audits, contract updates and basic sustainability reporting—can help secure EU relationships and position businesses as trusted, future-proof partners.

Circular Economy: Beyond Compliance

Beyond the legal frameworks lies a commercial opportunity. Circular practices designing for recyclability, disassembly, offering refurbishment and partnering with resale platforms are gaining traction.

Across the British homeware sector, inspiring examples are already demonstrating how sustainability can be embedded into everyday operations. Goldfinger crafts bespoke furniture using a mix of reclaimed, locally sourced, and sustainably certified timber.  Textile and upholstery specialists Camira, Panaz and Edmund Bell have developed fabrics made entirely from post-consumer recycled polyester, including SEAQUAL® yarn derived from marine plastic waste.

RHBR is also leading by example - foam offcuts from upholstery production are repurposed as protective packaging, reducing both waste and material costs; larger fabric remnants are donated to schools and prisons for creative reuse, while sawdust and wood scraps are redirected to local farms and facilities for heating and biomass energy, thus closing the loop between production and community benefit.

Furniture businesses can also explore modular product design, take-back schemes, and resale partnerships with platforms like IKEA re-shop and re-use or the upmarket Vinterior. These models extend product life, reduce waste and open up new revenue streams. They also align with emerging consumer preferences (for reasons of frugality as well as eco-consciousness) and procurement criteria, making them a smart investment in brand and resilience.

Strategic Alignment

To navigate this evolving landscape, businesses should begin by familiarising themselves with the evolving body of legislation and by auditing their supply chains for high-risk commodities. Procurement policies and contracts should be updated, the latter to include sustainability clauses and remediation rights. Digital traceability tools can help track origin and certification.

Packaging strategies should be reviewed in light of PERP fee structures, with a shift toward recyclable or reusable materials where possible, to assist compliance and reduce fees.

And circular models - whether for resale, refurbishment or modular design - should be piloted to test commercial viability and customer response.

The content of this article does not constitute legal advice. If you would like tailored advice on the subjects covered in this article, please contact Natalia at natalia@interiordesignlawyer.co.uk.