Extended Producer Responsibility (EPR) for packaging – UK
Department for Environment, Food and Rural Affairs (DEFRA) has issued a comprehensive wave of updates to the Extended Producer Responsibility (EPR) packaging framework, covering 2026 fee structures, packaging obligations, data collection requirements, and rules for reprocessors and exporters. DEFRA has additionally updated 2027 EPR guidance, making clear that demands on producers will only intensify. This is not a single update – it is a rolling, multi-layered regulatory programme expanding in scope year on year. Any business involved in manufacturing, retail, or distribution of packaged goods in the UK needs to act now.
Simplified sustainability reporting regulation – European Union
On 24 February 2026, the EU Council approved a simplified sustainability reporting regulation, and the European Commission launched a call for evidence to simplify EU reporting requirements more broadly. While this reform is designed to ease certain administrative burdens, it simultaneously resets compliance baselines – affecting thousands of companies currently aligned to the prior framework. Organisations subject to EU sustainability reporting must reassess their reporting architecture and governance structures before the next reporting cycle.
UK Employment Rights Act – implementation and consultation
On 3 February 2026, the UK Department for Business and Trade published guidance on the implementation of the Employment Rights Act. The DBT also launched a consultation to modernise agency worker rules, and a further consultation was opened to enhance access to flexible working arrangements. Together, these represent a fundamental overhaul of how employment relationships are structured and governed in the UK. From hiring practices to workforce planning, businesses will need to revisit employment contracts, HR policies, and supplier arrangements without delay.
EU regulation on restricted substances – European Union
On 23 February 2026, the European Commission adopted a regulation approving restricted substances, tightening what products can lawfully be placed on the EU market. This has direct implications for manufacturers, importers, and distributors whose products contain or interact with regulated chemical substances. Compliance with product safety and substances regulation is no longer a static exercise – it requires continuous monitoring as the EU continues to expand the scope of restricted materials.
Digital omnibus & AI governance – European Union
On 11 February 2026, the European Data Protection Board (EDPB) and the European Data Protection Supervisor (EDPS) issued a joint opinion on the EU's Digital Omnibus – a package of digital measures with significant implications for how organisations process data and deploy digital technologies, including artificial intelligence. Organisations deploying AI tools, from automated decision-making systems to customer-facing chatbots, now face an increasingly complex web of obligations cutting across data protection, employment, and consumer protection law.
This content has been prepared based on regulatory and legislative updates identified across UK and EU jurisdictions as of March 2026. It is intended for awareness purposes and does not constitute legal advice.
