The announcement, made on 4 November 2026, follows the Government's review of its approach to Responsible Business Conduct. UKFT participated in the Government's Forced Labour Roundtable, engaging with policymakers on the challenges facing businesses in addressing forced labour across international supply chains.
Which businesses will be affected?
The proposed requirements will apply to:
• UK businesses with global annual turnover exceeding £350 million.
• Overseas businesses generating annual turnover exceeding £350 million in the UK.
•The regime will cover services across the UK and goods placed on the market in Great Britain.
Businesses within scope will be required to identify, assess and address human rights risks across their own operations and supply chains. The framework is expected to align with international standards, including the UN Guiding Principles on Business and Human Rights and the OECD Guidelines for Responsible Business Conduct.
What will this mean for the textiles industry?
For businesses in the textiles, fashion and footwear supply chains, relevant risks may include forced and child labour, recruitment practices, wages and working conditions, migrant workers and subcontracting arrangements.
Alongside mandatory due diligence obligations, the Government intends to introduce powers allowing a regulator to investigate goods suspected of being made using forced labour and direct their withdrawal from the Great Britain market where the relevant requirements have not been met.
Although the £350 million threshold means that many UK businesses will not be directly within scope, smaller manufacturers and suppliers may face increased information, assurance and due diligence requirements from larger customers seeking to meet their own obligations.
What happens next?
The proposed legislation will be developed further, with the Government intending to introduce it as soon as parliamentary time allows. Details of the implementation timetable, regulatory oversight and enforcement arrangements are still awaited.
The new regime will sit alongside existing requirements under the Modern Slavery Act 2015. Businesses supplying Northern Ireland should also be aware of the EU Forced Labour Regulation (EU) 2024/3015, which applies from 14 December 2027.
UKFT will continue to engage with Government as the proposals develop and keep members informed of relevant developments and their implications for the industry.
The proposals are not yet law. UKFT will develop guidance to help members understand and meet the new requirements once the legislation is finalised. Members can request existing resources on Supply Chain Governance legislation by contacting compliance@ukft.org. Further information and support on Responsible Supply Chains is available through the Sustainability 101 Portal.
