The food and drink industry has seen a number of challenges and changes in recent years, and the outlook for the rest of 2025 is no different.

With the national food strategy focusing on obesity, environmental impact and food security, we’ve identified the core issues shaping the sector, which all businesses involved in the manufacturing, distribution or promotion of food and drink products should be aware of:

Advertising

From 1 October 2025 restrictions come into force on advertising high-fat, sugar, and salt (HFSS) products. These will prohibited from being advertised on television before 9pm, or online at any time. This has a significant impact on how food and drink brands can promote their products, requiring a shift towards reformulation or alternative marketing strategies. Businesses should review their advertising campaigns to align with the new legal framework.

DMCC Act and Consumer Law Enforcement

The Digital Markets, Competition and Consumers (DMCC) Act is introducing significant changes to consumer law enforcement. The Competition and Markets Authority (CMA) is being granted fining powers of up to 10% of global annual turnover to tackle unfair trading practices, including misleading advertising and hidden fees. Businesses in the food and drink sector must ensure transparency in pricing, promotional offers, and contract terms to avoid enforcement actions and penalties under the new legislation. 

Greenwashing  

Environmental responsibility remains a priority for regulators, wither tight regulations on sustainability claims. Businesses should provide verifiable proof of eco-friendly claims to prevent misleading marketing, or ‘greenwashing’. Food and drink companies must ensure that sustainability credentials, such as carbon footprint reductions and recyclable packaging, are substantiated with clear evidence.

Packaging

The next stage of the Extended Producer Responsibility scheme on packaging comes into force from October 2025. The scheme already requires certain businesses to collect data and report on packaging waste, and will now require businesses to cover packaging waste costs. From 2026/2027, fees will be adjusted to incentivise recyclable materials, encouraging businesses to rethink packaging choices. Differences in implementation between Wales and the rest of the UK, along with ongoing consultations, add some uncertainty to the rollout.

Food Safety and Allergen Labelling

Following high-profile cases of food-related allergic reactions, stricter food safety and allergen labelling requirements are being enforced. The FSA has updated its industry guidance on allergen information for the out-of-home sector, emphasising the need for written allergen details alongside verbal communication between staff and customers. The guidance provides examples of how to display allergen information, including the use of symbols with accompanying words. Food businesses operating in this sector should review and implement these measures to enhance allergen safety and compliance.

By staying informed on these evolving legal issues, food and drink businesses in the UK can ensure compliance, maintain consumer trust, and remain competitive in 2025.

Our food and drink team is made up of lawyers with expertise in all areas affecting food and drink businesses, and can work with you to make sure you’re prepared for what’s coming down the track. Get in touch with the team to discuss any of the issues listed above.

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