In inviting responses to this consultation, the government states that it “strives to achieve the right regulatory balance between supporting excellent business practice and protecting workers, consumers and the environment”.
Negative social and environmental impacts are embedded in the supply chains of UK businesses in multiple sectors, from food to electronics, construction to cars. This includes modern slavery and child labour; land and water grabs; attacks on human rights defenders, and deforestation. All too often, businesses evade accountability for their impacts by transferring their legal obligations to other parties. In reforming regulation, attention should be paid to businesses at the top of the supply chain that hold significant market power.
We recommend that the UK government must introduce a new corporate duty to prevent negative human rights and environmental impacts, mandating businesses to conduct human rights and environmental due diligence, and holding UK companies accountable if they fail to prevent harmful impacts on society and the environment.