What are PFAS, and why are they a concern for UK businesses today?

Perfluoroalkyl and polyfluoroalkyl substances (PFAS) are synthetic compounds which have been widely used in industrial processes and consumer products since the 1950s. They’re found in applications across the aerospace and defence sectors, automotive and aviation, food contact materials, textiles and apparel, construction materials, metal plating, electronics and semi-conductors, cosmetics, firefighting foams, household products, and medical devices.

PFAS can be released into the environment at almost every stage of a product’s lifecycle. They may leach from packaging into food, wash off products into water systems, or be emitted during production, manufacturing processes, use and/or waste disposal.

PFAS are resistant to heat, water, and oil, so they don’t break down easily. Their persistence means they accumulate in soil, water, wildlife, and humans.

It’s been widely known for some time that PFAS represent significant risk to the environment, and to wildlife and human health. Particular health risks non-exhaustively include certain cancers, liver damage, thyroid disease, reproductive and developmental issues, immune system suppression, cholesterol changes, pre-eclampsia, altered metabolism, and reduced vaccine response.

But today’s focus on ESG and the growing trend towards environmental litigation mean that PFAS are increasingly an issue for the board agenda.

What are the legal and commercial risks?

Legal liabilities linked to PFAS can be extensive. Where products, processes or projects involve PFAS, registration/authorisation, restrictions, controls, labelling and disposal requirements, and reporting obligations may apply under various regulatory frameworks and under the environmental permitting and contaminated land regimes.

As well as regulatory compliance and enforcement, claims may also arise common law, for example in negligence, trespass and nuisance.

Depending on the liability pathway, limitation periods may be extended or non-existent, meaning businesses can face liability even where PFAS use or contamination occurred decades ago.

Financial and reputational damage associated with PFAS allegations, even regardless of strict legal merits, can be devastating.

Alongside regulatory scrutiny/compliance/enforcement and legal risks, strong consumer and customer preferences in today’s environmental and health-conscious markets mean that there are also clear commercial and reputational motivators for ensuring businesses’ products, practices and supply chains are ‘clean’ from a PFAS perspective. Businesses should also ensure they can’t be accused of ‘greenwashing‘ in that regard.

PFAS are also increasingly a concern for insurers. PFAS issues impact a range of policies, including employers’ liability and general liability policies, environmental impairment liability, public liability and product liability, directors’ and officers’ liability, and property and business interruption policies. Policy costs and exclusions are escalating in tandem with awareness and legal and commercial risks.

PFAS issues are also influencing transactional decisions and provisions. The potential for significant, unquantifiable cleanup costs and reputational damage can depress corporate and property values and can impact project feasibility. Lenders, investors and insurers are scrutinising deals and land/properties more closely.

As well as higher reserves and/or additional insurance, commercial markets are seeing transactional measures relating to enhanced environmental due diligence; allocation of environmental liabilities; contractual indemnification; provisions covering ‘known’ versus ‘unknown’ contamination; and wider disclosure obligations.

From a legal perspective, PFAS issues risk exposing businesses to potential regulatory action, third-party claims, contractual and tortious liabilities, and even claims against individual directors and officers. From an operational perspective, they may affect manufacturing processes, supply chain arrangements, supply availability, production continuity and project planning.

Why UK businesses need to act now

• Landowners and developers are already incurring cost and project delays associated with PFAS clean-up operations. They’re also grappling with ongoing issues around how to safeguard sites, or pursue polluters, in respect of contributions and/or future leaching and contamination.
• Wyre Council is conducting the country’s first ever multi-agency PFAS-related contaminated land investigation, with results due to be published in early 2026. North Yorkshire Council has confirmed that regulatory and groundwater investigations are also ongoing in relation to PFAS pollution in High Bentham. Other authorities are likely to follow suit.
• The BBC has reported that the Drinking Water Inspectorate has issued 23 enforcement notices to water companies over elevated levels of PFAS which could “constitute a potential danger to human health”.
• The EA has been given the largest ever budget to deal with water pollution.
• Importers and retailers are considering supply challenges. For example, UK fashion retailer Burberry has updated its Product Restricted Substances List so that materials used in and from its spring/summer 2026 collection will be moving towards being PFAS-free. In relation to food packaging, however, as at January 2026, none of the major UK supermarkets have yet openly targeted specific PFAS reduction commitments.
• Manufacturers are considering production changes and waste impacts. For example, PFAS-free cookware has demonstrated compelling commercial success following increased public awareness around health risks. On the waste side, Veolia has announced what it calls a “major technological breakthrough” in the destruction of targeted PFAS chemicals at hazardous waste incineration facilities. It’s developed patented technology to virtually eliminate several targeted PFAS (with an efficiency rate of up to 99.9999%). It’s one of a number of industrial technological innovations aimed at reducing PFAS in waste and water.

As well as ESG/commercial drivers, regulatory scrutiny is intensifying:

• Through UK REACH [1], the UK government is prioritising restrictions on PFAS-containing fire-fighting foam and other designated substances of very high concern.
• The Environmental Audit Committee launched an inquiry in 2025 into UK regulatory readiness on PFAS, including UK REACH robustness, monitoring, disposal, and comparison with EU/US frameworks.
• The December 2025 Environment Improvement Plan committed to the publication of a dedicated PFAS strategy in 2026.

So, legal and regulatory reform is anticipated on the near to mid horizon.

In terms of litigation threat, Anthony G. Hopp, a US partner at international law firm Steptoe, shared his learnings on PFAS litigation in the US with attendees at the recent UK Chemical Reactions Conference in October 2025. He said that, while legal action against PFAS is only just starting to take place in the UK, more than 350 companies have been sued in the US over PFAS, over 10,000 lawsuits have been filed, and $17bn has been either paid out or promised in settlements for PFAS related cases. Most of the cases focused on groundwater, surface water and soil contamination. Some of the cases involved public water systems seeking damages for increased costs of providing clean water. Some have been state level enforcement of environmental laws. Many have been private party litigation cases alleging nuisance and trespass from the presence of PFAS in groundwater and surface water.

What can UK businesses do to address PFAS risks?

The best advice is for UK businesses to start phasing out/cleaning-up PFAS throughout supply chains and operations now. Where possible, transitioning to PFAS-free alternatives will help businesses to reduce environmental and health risks, avoid significant remediation costs, maintain compliance with evolving legal standards, and capitalise upon commercial opportunities.

In terms of practical steps, businesses can:

• Undertake PFAS exposure investigations and assessment across operations, products, and supply chains
• Review procurement and contractual arrangements to identify and phase out PFAS-containing materials and adopt and contract for suitable alternatives
• Undertake environmental sampling at potentially affected sites
• Implement controls on PFAS-containing materials/products and their use and disposal
• Tailor and strengthen ESG reporting and board-level oversight
• Prepare contingency plans for legal/regulatory, operational and supply chain changes

How we can help you

Our dedicated Environment and Regulatory & Compliance teams comprise multi-disciplinary expert lawyers experienced in environmental and regulatory issues. Along with colleagues specialising in real estate, planning, development, commercial contracts and dispute resolution, we can work with businesses at every stage of a project or commercial arrangement to create, implement and deliver an effective strategy to avoid, mitigate or remedy any PFAS-related issues.

With former regulators on the team, we pride ourselves on providing upfront, strategic advice and transactional assistance, to minimise the risk of PFAS issues impacting projects or supply chains.  Where allegations of contamination or harm do arise, we can support clients with sensitive and effective crisis management advice, as well as by negotiating with regulators to avoid or minimise penalties, convictions and commercial/reputational consequences.

Specifically (non-exhaustively), we can help you:

• Undertake policy, procedure, operation and contract reviews to understand, assess and monitor commercial arrangements and supply chains to identify PFAS usage
• Explore safer alternatives, and implement contractual renegotiations, terminations or new arrangements accordingly
• Keep updated on legal and regulatory developments and ensure operational and reporting compliance
• Implement environmental management systems to monitor and reduce PFAS-related risks
• Create, implement and help deliver effective strategies to avoid, mitigate or remediate PFAS contamination impacting development plans or projects
• Respond effectively to PFAS-related complaints, claims or investigations, implementing effective dispute resolution strategies if required.

For further advice or information, please contact Rachel or any member of the Environment or Regulatory & Compliance teams.

[1] ‘Registration, Evaluation, Authorisation and Restriction of Chemicals’ – a domestic framework, administered by the Health and Safety Executive, applying to manufacturers, importers, distributors, downstream users and retailers handling 1 tonne per year or more of certain in-scope substances, including some PFAS