Retailers must navigate a complex regulatory environment with significant updates this year in data protection, cybersecurity, AI, digital payments, and online safety. Key developments include:

- Data Protection legislation – amending relevant laws in the UK.

- EU AI Act – introducing a risk-based approach to AI regulation.

- Cybersecurity laws – setting new requirements for digital products.

- Buy Now Pay Later regulation – introducing consumer protections.

- Online Safety legislation – implementing new codes of practice in the UK.

2025 is another busy year for employment law which will have a significant impact on retail and consumer business with the EU and UK pressing ahead with its plans for worker protection reforms. Explore more on:

- New employment rights – including the new Employment Rights Bill containing the UK government's flagship employment law reforms.

- Enhanced worker protections – leading to more tribunal claims and more trade union involvement in industrial relations.

- Pensions law developments – impacting defined benefit scheme liabilities.

Supply chain resilience is on the cards in 2025 – we expect to see businesses increasingly utilise AI and blockchain technology to plan supply chain strategies and improve resiliency. We also expect the near-shoring trend to continue this year, which is likely to be a driver of increasing demand for logistics and warehousing.

- Agri-food legislative measures in the EU – strengthening farmers' positions in the agri-food supply chain.

- Modern Slavery Act reforms, focusing on due diligence in supply chains. 

- The European Accessibility Act –  mandating accessibility requirements for certain products and services. 

Retailers need to be aware of key developments in legislation and regulation affecting commercial property and the broader built environment in England and Wales:

- The MEES Regulations – impacting commercial properties. 

- Reforms to the Energy Performance of Buildings regime – consultation closing in February 2025.

- New regulations – allowing local authorities to hold compulsory high street rental auctions for empty properties. 

Significant developments in the ESG landscape in 2025, Key highlights include:

- Corporate Sustainability Reporting Directive (CSRD) – Expanding the scope of sustainability reporting requirements for businesses.

- General Product Safety Regulation (GPSR) – Introducing new safety requirements for consumer products in the EU.

- Green Claims Directive – setting stricter standards for making environmental claims and enhancing consumer rights in the green transition.

- Corporate Governance - proposed reforms to the audit and corporate governance regime and continuing implementation of the Economic Crime and Corporate Transparency Act 2023 which includes wide ranging reforms for corporate entities.

Consumer protection and enforcement law continues to be strengthened , businesses should be aware of significant developments in product liability and health & safety in 2025. Key highlights include:

- EU Product Safety Regulation – introducing new safety requirements for consumer products.

- EU Product Liability Directive – broadening the scope of cases for which compensation can be claimed.

- UK Health & Safety Bill – introducing an obligation for employers to actively prevent violence and harassment in the workplace.

- UK Reform of the Furniture and Furnishings Regulations - seeking to clarify and update the responsibilities of manufacturers, importers, and suppliers.