Greenwashing of sustainable finance products discouraging consumers from investing

Despite keen consumer interest, greenwashing and poor-quality products are stopping consumers from investing sustainably according to a new survey BEUC published today. Accordingly, consumers find these products should be subject to stricter rules.

These are the results of a consumer survey carried out among more than 10,000 consumers in 11 European countries.[1]  

The survey shows a clear consumer appetite for sustainable finance products: 27% said they have already invested sustainably. Another 41% said they would consider doing so, but 55% have never even been offered such products. Consumers interested in sustainable finance want investments that have a positive impact (86%) and transition high-emission sectors towards sustainability (71%).

However, the survey also indicates that: 

• Greenwashing is putting consumers off. Over a third (34%) cite misleading, hard to verify, or unreliable green claims as a reason not to invest in sustainable finance products.
• Consumers consistently felt less informed about sustainability aspects (45%) of financial products compared to 73% regarding financial aspects. More than half (52%) said the distinction between regular and sustainable investments is unclear.
• Many consumers have misplaced trust in the current system. 52% of consumers wrongly believe products comply with strict laws on what is sustainable. 49% think sustainable products are verified by a market supervisor, which, again, is not the case.

Consumers surveyed overwhelmingly believed (76%) products should follow “strong rules” on what is sustainable and be made available to every retail investor (67%).

BEUC Director General Agustín Reyna commented: “The survey results show that consumers have a clear idea of what sustainable finance should be. These products have to offer more than just marketing spin. They need strong minimum standards, excluding harmful activities such as fossil fuels, and contributing to a sustainable economy. Our survey shows that, despite strong consumer interest for sustainable investment products, many consumers are simply put off by misleading claims or pure greenwashing.

“Ensuring consumers can invest in trustworthy sustainable finance products can be a key driver in achieving EU goals, offering a good deal for both the environment and consumers’ pockets.”

Note to Editors
The survey is a joint effort from The European Consumer Organisation (BEUC), International Consumer Research & Testing (ICRT) and Euroconsumers and 13 consumer organisations: Testachats (BE), Forbrugerrådet Tænk (DK), UFC-Que Choisir (FRA), Stiftung Warentest (DE), Altroconsumo (ITA), Consumentenbond (NL), Forbrukerrådet (NO), Federacja Konsumentow (PL), DECO PROteste (PT), Asufin (ESP), Federación de Consumidores y Usuarios (CECU) (ESP), Organización de Consumidores y Usuarios (OCU) (ESP), and Sveriges Konsumenter (SE).

The survey was conducted in parallel in all countries from the end of May until mid-June 2025. The data, which was collected through an online questionnaire, was analysed by Euroconsumers. In each country, around 1,000 responses were collected, with a total of 11,331 valid responses addressing a sample of the population aged 25-64.

Read more

• Open Letter on an ambitious review of the SFDR
• Joint statement on SFDR product categorisation
• Video: It’s time to fix sustainable finance

[1]  Belgium, Denmark, France, Germany, Italy, the Netherlands, Norway, Poland, Portugal, Spain and Sweden.