The General Product Safety Regulation and its impact on British businesses

The new EU General Product Safety Regulation ((EU) 2023/988) (the GPSR) came into force on 13 December 2024, replacing the General Product Safety Directive of 2001 (Directive 2001/95/EC) (the GPSD).

This new legislation was primarily introduced to help modernise the laws around sales of potentially dangerous and/or unsafe products into the EU taking into account technological developments over the previous twenty-plus years, particularly through distance sales by online platforms which operated outside of the jurisdiction. 

As for the GPSD, the GPSR has broad application to all consumer products placed in the market that aren’t already subject to specific legislative requirements (such as food products). Unlike the GPSD, however, the GPSR has direct effect, meaning that it became law in each of its member states from the date the legislation came into force, rather than relying on member states to implement their own legislation to give effect to the GPSD’s provisions. Of course, as the UK is no longer in the EU, the GPSR does not apply in this jurisdiction and therefore the General Product Safety Regulations 2005 (in force since 1 October 2005) – the UK’s implementation of the GPSR – remains unaffected, at least until the UK implements its own proposals to update product labelling requirements (more on which see below).

That said, any trader based in Great Britain who places products in any EU member state, EEA state (Iceland, Liechtenstein and Norway) and/or Northern Ireland (as a result of the Northern Ireland Protocol, as amended by the Windsor Framework) - referred to together in this article as “the market” for convenience - will have to comply with the GPSR’s provisions should they wish to continue selling products there, regardless of the trader’s size.

So what does the GPSR mean for my business?

For traders to whom the GPSR will apply, there are some key points to note:

• Definition of “products” - unlike the GPSD the GPSR covers used, this includes repaired or reconditioned products being placed on the market, in addition to new ones.
  
  
• Definition of “safe” products - the general requirement to ensure products are safe hasn’t changed. However, the definition of “safe” now includes consideration of relevant technological advances such as interconnectivity, cybersecurity features, use of AI and/or software updates. It also requires specific consideration of the risk of harm to mental health of consumers, as well as physical.
  
  
• Responsible Economic Operator (REO) - any business operating outside of the market is required to appoint a REO, which is sometimes referred to as an EU representative. This person must be established in the market and their details must be included on either the product, packaging or related documentation. "Established" for these purposes means an actual presence in the market ie not a PO Box or shell company or similar. In practice this will mean that many UK and US businesses that don't have an office in the EU or other part of the market will need to appoint a REO which will normally be their importer.
  
  
• Labelling - as a result of the GSPR there are now fully harmonised rules across the EU and the rest of the market on product labelling. Although changes from the old regime are minimal, it's a good opportunity to review compliance and potentially have a more consistent approach to labelling across Europe.
  
  
• Greater obligations on supply chain - the obligations under the old GPSD were largely focused on the producer, which in most cases was the manufacturer of the product (or their authorised representative) unless they were not based in the EU, in which case these were passed down to the importer. However, the GPSR is clear on the responsibilities of each of the manufacturer (or its authorised representative), importer and distributor, as well as new specific requirements for operators of online marketplaces (see below).
  
  
• Documented risk assessments needed for all products - manufacturers are now obliged to carry out a risk assessment before placing a product on the market, and to draw up “technical documentation” setting out at least a general description of the product and its relevant essential characteristics for any safety assessment, together with the identified risks and measures adopted to mitigate or eliminate those risks, and to keep this documentation up to date and available to MSAs.
  
  
• Product recalls - there are now more prescriptive requirements across the supply chain in terms of information to be provided to consumers in the event of a product recall or safety warning, and the remedies to be made available to consumers in these circumstances.
  
  
• New rules for online marketplaces - platforms selling products on behalf of third party sellers must now assume certain responsibilities which build on their obligations under the Digital Services Act (for more information on this, please see here), including facilitating and supporting buyers and notifying them of dangerous products, and suspending access to traders who frequently offer such products.

Sanctions

The GPSR does not stipulate specific sanctions for breaches of the GPSR, instead leaving up to the member states themselves to impose “effective, proportionate and dissuasive” penalties. This means the actual penalties will vary across the market.  

What do I need to do now?

Many British businesses trade in at least some of the markets caught by the GPSR (including Northern Ireland), so it will be necessary to ensure that these products comply with the latest obligations and are labelled properly. Furthermore, many British businesses will need to consider appointing a REO or EU representative if they don't have their own office in the EU, EEA states or Northern Ireland.  

For businesses which are caught, or likely to be caught, by the GPSR and have not yet put measures in place to deal with any new or increased responsibilities under this legislation, it's important to act quickly now (though note that it only applies to products placed in the market on or after 13 December 2024, not before). Indeed, some businesses have taken the decision to stop selling outside of Great Britain given the additional risks and costs of compliance involved with this legislation.

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