Green Growth Meets ECGT: Why the Sustainability Boom Is Raising the Bar for Business

According to LSEG’s latest Investing in the Green Economy research, the global green economy has surpassed US$10 trillion in market capitalisation for the first time. Green revenues grew by 5.3% in 2025, with growth recorded across 99 of the 133 green product and service categories tracked by LSEG.

If the green economy were treated as a standalone sector, it would now rank as the third largest in the world, behind only Technology and Industrials.

For businesses, the message is clear: sustainability is becoming increasingly connected to growth, investment and competitiveness.

But there is another important shift taking place at the same time.

As the economic value of sustainability grows, so does the scrutiny surrounding the environmental claims businesses make.

Green growth is creating a need for green proof

The EU’s Empowering Consumers for the Green Transition (ECGT) Directive will apply from 27 September 2026, introducing clearer requirements around how environmental and sustainability claims are communicated to consumers.

At first glance, these trends might appear contradictory.

Businesses are being encouraged by markets, customers and investors to pursue the opportunities associated with the green transition, while regulation is simultaneously making it more difficult to communicate environmental credentials.

In reality, they are two sides of the same development: the green economy is maturing.

The greater the commercial value attached to environmental performance, the more important it becomes that claims about that performance are credible.

The bar for sustainability claims is rising

ECGT does not mean businesses have to stop communicating their sustainability achievements. It does, however, raise the evidentiary bar.

Generic environmental claims such as “green”, “eco-friendly”, “environmentally friendly” and “sustainable” face particular scrutiny where they cannot be appropriately substantiated.

Climate-related claims also require careful consideration. Statements around carbon neutrality, emissions reductions or progress towards Net Zero need credible evidence behind them.

Similarly, aspirational statements such as “we’re working towards Net Zero” need more than good intentions. Businesses should be able to demonstrate clear commitments, measurable and time-bound targets, credible implementation plans and evidence of progress.

The question is therefore shifting from:

“What can we say about sustainability?”

to:

“What can we prove?”

Evidence before marketing

This shift has significant implications for marketing, communications and sustainability teams.

Businesses should be able to substantiate environmental claims before they are communicated, rather than attempting to assemble evidence after a claim has been challenged.

Depending on the nature of the claim, supporting evidence may include Life Cycle Assessments, Product Carbon Footprints, verified supply-chain data, recognised third-party certifications and independent verification reports.

This is where independent third-party validation and verification becomes increasingly valuable.

Independent scrutiny can help determine whether the data, methodologies and evidence supporting an environmental claim are sufficiently robust. It can also identify gaps before those claims reach customers, retailers, procurement teams or other stakeholders.

Verification is becoming a commercial advantage

The LSEG findings demonstrate just how economically significant the green transition has become. Growth is being driven across areas including electrification, energy efficiency, clean transport and increasing electricity demand.

As more businesses compete within this expanding economy, environmental credentials will inevitably become part of how organisations differentiate themselves.

But differentiation based purely on language is becoming increasingly difficult.

A business that can independently demonstrate its environmental performance has something considerably more powerful than another sustainability statement: evidence.

Independent verification can support greater confidence among customers, investors, retailers and procurement teams while helping businesses reduce the risks associated with unsupported or overly broad environmental claims.

In other words, verification should not be viewed solely through the lens of compliance.

It can become part of a company’s competitive advantage.

From green claims to green proof

The next stage of the green economy will not necessarily belong to the businesses making the biggest sustainability claims.

It will belong to businesses capable of proving them.

With ECGT applying from 27 September 2026, now is the time to review the environmental claims appearing across your website, product pages, packaging, sales materials and wider communications.

EcoVerify can help.

Our independent sustainability claim review and validation/verification services can help your organisation identify evidence gaps, assess the information supporting your environmental claims and develop credible, defensible documentation.

Don’t wait until a customer, retailer, procurement team or regulator asks for the evidence. Make sure the evidence is there first.

To discuss your sustainability claims and independent validation or verification requirements, contact EcoVerify at [email protected].

The green economy is growing. Make sure your sustainability claims are ready to grow with it.