The Know Daily - Monday 21 September 2026

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👗 France’s fast fashion tax

France is taking aim at fast fashion with a new charge on some of the world’s biggest online clothing brands.

Tell me more.
From the start of September, products from fast fashion brands will have an extra charge ranging from €0.50 for small items like underwear to €2 for a T-shirt, €9 for jeans and €12 for bigger items like a jacket. It could rise to €19.50 per item by 2030, although it is capped at 50% of the product’s pre-tax price.The law also limits how these brands can advertise, and requires online retailers to disclose more about their products' environmental and social impact. France says the changes should encourage brands to make more durable products, offer better repair options and reduce overproduction.

Why target fast fashion?
Fast fashion is made quickly and in huge quantities, with new trends constantly encouraging us to buy more and replace what we already own. Much of it has a short lifespan and ends up in landfill. The United Nations estimates that 92 million tonnes of textile waste are generated around the world every year. And while clothing production doubled between 2000 and 2015, the amount of time we used each garment fell by 36%.

Will shoppers notice?
The extra cost is expected to be passed on to shoppers but whether that’s enough to change what people buy – or how long they keep items – remains to be seen. There are some signs that adding costs to ultra-cheap online shopping can affect demand: imports of small parcels from China into the EU reportedly fell by around 30–40% after a separate €3 charge was introduced in July. France’s government is hopeful the fashion levy will have a similar effect.

What do the fashion companies make of it?
China has criticised the French law, arguing that it unfairly targets Chinese-invested companies such as Shein, Temu and AliExpress and could breach World Trade Organization rules. France rejects the statement, saying the measure is about environmental protection and applies according to a company’s business practices rather than location

Is France the only country tackling fast fashion?
No, the European Union has banned large companies from destroying unsold clothes, shoes and accessories, with medium-sized firms set to follow from 2030. Italy has proposed an environmental tax on ultra-fast-fashion imports from outside the EU, while a new US bill aims to tackle clothing waste too.

In the UK, the government has been exploring a scheme to make clothing producers contribute towards the cost of dealing with textile waste. Proposals have included take-back schemes for used clothes and measures to stop reusable or recyclable textiles ending up in landfill or being incinerated. So, France’s new levy could provide a useful test of whether extra cost to producers and consumers can help curb our throwaway fashion culture.

💰 Money Monday: UK interest rates are staying at 3.75% – so what does that mean for your mortgage and savings?

• The bigger story: The Bank of England has held rates at 3.75% for a sixth consecutive time, as rising energy costs have pushed inflation back up to 3.1%. Around 87% of mortgage holders are on fixed-rate deals, so they won’t see an immediate change, but anyone coming off a fixed deal could face higher borrowing costs. Meanwhile, savings rates are also being affected, with the average easy-access account paying 2.54% and one-year fixed savings averaging 4.39%.

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