The Law Commission, an independent organisation established to keep the law of England & Wales under review and recommend reform, has announced a review of the law in relation to liability for defective products.

It has been 40 years since the introduction of the EU Product Liability Directive 85/974/EEC which was implemented into law in England & Wales by way of the Consumer Protection Act 1987 (CPA).  However, the EU legislation has been reformed and Member States have until 9 December 2026 to implement the new Product Liability Directive (EU) 2024/2853 into national law. Post Brexit, the new Directive does not apply in England and Wales and to date the UK Government’s plans for reform of the CPA have been unclear.  

Perhaps unsurprisingly, the Law Commission cites the same two key reasons for needing reform as the European Commission did nearly three years ago: the range of available products, particularly digital products, has developed significantly in the last 40 years and it has proven difficult for claimants to bring successful claims under the current regime, ie the regime is considered too defendant-friendly.

The Law Commission states that the project “will consider issues with the operation of the existing product liability regime, particularly in light of emerging technologies, to determine what law reform might be required to ensure the product liability regime is fit for purpose. Such a review will help determine and, if necessary, correct the balance between protecting people from harm and supporting industry. It would also provide increased certainty regarding managing harm caused by products, especially in the digital age”.

The project is expected to begin in 2025 with determination of the scope of the work and agreeing terms of reference with the Government. Stakeholders are invited to share their views on issues with the current regime and the focus of the review.

*Update February 2026*

The Law Commission has now published the Terms of Reference. The terms of reference now provide further insight into the review which will explore whether core concepts of “product”, “defect”, “damage”, and the definition of “producer” need modernising.  There is a focus on the applicability of the legislation to emerging technologies, particularly AI, and the review will assess challenges around AI‑driven opacity, autonomy and iterative software updates. It will also consider reforms to the 10‑year longstop, the state‑of‑the‑art defence, and whether the burden of proof for claimants has become too onerous.