Boohoo, a fast-fashion giant, is facing scrutiny for falsely labeling clothes as ‘Made in the UK’ when, in reality, they were produced in South Asia. The mislabeling occurred at Boohoo’s flagship factory on Thurmaston Lane in Leicester, which was reportedly closed on Tuesday, 9th January. Boohoo attributed the incorrect labels to a misinterpretation of labeling regulations and clarified that this error affected up to one in 250 garments within its global supply between January and October 2023.
Chris Grayer, Head of Supplier Ethical Compliance at Next, a prominent High Street retailer, highlighted that this mislabeling indicated a “significant failure of inspection.” Grayer emphasized that, in his experience, such a lapse would prompt a recall of garments, and halting sales until labels were corrected to comply with standards.
Boohoo had committed to revamping its practices in 2020 following revelations of low wages and unsafe working conditions at a Leicester factory producing its clothes. A comprehensive review by senior barrister Alison Levitt KC confirmed these allegations. Boohoo responded by implementing Agenda for Change, pledging fair payments to suppliers and realistic production timelines.
The company asserted that the mislabeling incident was an isolated case resulting from human error and assured that corrective measures have been taken to prevent a recurrence.
The garments in question were originally shipped from Pakistan and other South Asian countries to Boohoo’s now-closed Leicester facility, where they underwent printing processes.
Boohoo is grappling with shrinking sales post its pandemic-driven surge when store closures were widespread. Sales declined by 17 per cent, reaching £ 729 million in the six months ending August 31, exacerbating the company’s losses by £ 11 million compared to the previous year, resulting in a £ 26.4 million deficit.
