Cleaning up
The UK Government plans to tackle land contamination from ‘forever chemicals’.
Ross Smith
© Fisher GermanPer- and polyfluoroalkyl substances (PFAS), often dubbed ‘forever chemicals’, comprise more than 10,000 synthetic chemicals used for their resistance to heat, water and oil. They are present in a vast array of products, including textiles, furniture, electronics, semiconductors, printing facilities, firefighting foams, plastics, coatings and much more.
Their durability, however, comes with a cost. These PFAS chemicals persist in both the environment and human body, accumulating over time and resisting breakdown due to their robust carbon-fluorine bonds. They are toxic and their impact has far-reaching consequences.
From an environmental and public health perspective, PFAS contamination can affect soils and migrate into groundwater, including aquifers used for drinking water. It can also enter surface watercourses through runoff or groundwater migration. This creates long-term environmental and health concerns that regulators are now addressing, which is why the UK Government has acted – publishing its first PFAS Plan earlier this year.
There are relatively few PFAS manufacturing sites in Great Britain, but contamination is more commonly linked to use across industries rather than production itself. The PFAS chemicals are present in supply chains through applications, allowing them to disperse more broadly across sectors.
A notable historical source is firefighting foams used at aviation, defence and industrial sites. Although PFAS-containing foams are being phased out, they remain a source of legacy contamination.
Meanwhile, another far-reaching issue is the presence of PFAS in waste streams.
A by-product of wastewater treatment works is the production of sewage sludge that can contain PFAS. Industrial waste facilities and transfer stations may handle other PFAS-containing materials. Landfills are also a key concern, as PFAS can leach over time and enter the surrounding environment.
Monitoring in the UK has identified low, but widespread, concentrations of PFAS in water systems, and regulatory bodies are increasing sampling and monitoring efforts to better understand distribution and trends.
There are also implications for agriculture. Sewage sludge used as fertiliser creates a potential pathway into the food chain, and then there is the water used for irrigation.
Recently consulted regulatory changes may introduce restrictions on the use of contaminated sludge on agricultural land and require more stringent testing. Where PFAS are detected, sludge might be diverted to alternative disposal routes such as landfill or undergo treatment before reuse.
Maximising monitoring
The government’s PFAS Plan will significantly affect the minerals and waste sector by increasing environmental monitoring across water, soil, leachate and sludge.
Operators will face more frequent testing, more detailed conceptual modelling and stricter requirements for characterising materials used in restoration or disposal.
Many sites may also see changes to permits, as regulators introduce PFAS-specific emissions thresholds and environmental standards are developed to have better control risks from PFAS contamination.
Waste operators will also be impacted by changes to waste classification and disposal practices. Waste streams containing PFAS, such as sludges and treatment residues, may increasingly need specialist handling.
This heightened scrutiny also affects historical brownfield sites as PFAS contamination has been identified at many industrial and waste-related locations UK-wide. This may increase the liability for landowners and operators, and investors face mounting litigation risks and reputational hazards tied to contaminated sites, with PFAS liabilities threatening asset valuations.
Brownfield sites are typically assessed for PFAS as part of the due diligence process for acquisition, or as part of the planning permission process. It can become quite complex if a site has had multiple owners and occupiers, so determining where responsibility lies can become tricky.
Within the minerals and waste sector, PFAS risks are more closely associated with waste management than with mineral extraction itself. Landfills, waste processing sites and the use of imported soils in site restoration represent key areas of concern. This may lead to increased due diligence requirements and more frequent testing of materials in the future.
The financial impact is likely to fall primarily on waste producers, who may be saddled with increased costs for monitoring, testing and disposal.
Where contamination is identified in soils or groundwater, landowners may incur additional costs for investigation, risk assessment and remediation.
Broader impacts in the UK are not yet fully realised, but future litigation related to contamination could drive wider exclusions, increase insurance premiums and reduce availability of cover.
New insurance policies could start to incorporate PFAS exclusions, which is being seen in the US already.
Reinsurance policies might be worth exploring for past events should impacts adversely develop, although premiums are likely to be high depending on the scenario.
Historical insurance coverage may provide indemnity for PFAS-related claims at the time PFAS was being used on a site and this could be a point to research.
Scope for mitigation
When buying industrial land or property, it is vital to question the vendors about site activities and PFAS use or storage. A Phase I Geo-Environmental Risk Assessment is recommended with a PFAS-specific focus, investigating both historic and current site use. Have there been firefighting foams or manufacturing on the site before? What is the proximity to known PFAS sources?
It is important that property owners, investors and operators do not panic, take advice from experts to assess their existing investments and put together a risk management strategy.
That will involve mapping PFAS exposure across a portfolio – past, present and future – scrutinising supply chains and eliminating PFAS where feasible, staying informed on shifting regulations and litigation trends, as well as committing to regular reviews, due diligence and investigations to safeguard investments.
Where potential risks are identified, it is important to follow up with a Phase II Geo-Environmental Risk Assessment, including soil, groundwater and surface water sampling to clarify potential liabilities.
The regulatory direction in the UK is towards increased monitoring, stronger controls, and a greater focus on identifying and managing PFAS contamination.
The issue is expected to grow in importance as more data becomes available, with implications for environmental protection, land use, waste management and long-term liability. Against this backdrop, early engagement with regulators and environmental specialists is becoming increasingly important.
A proactive approach to due diligence can help identify potential risks at an early stage, allowing purchasers, developers and operators to factor mitigation measures into project planning and financial appraisals.
Where PFAS is identified, this may involve revised site management practices, further detailed risk assessment and modelling, or remedial action, all of which can influence both programme and cost.
Businesses operating within the industrial and waste sectors should remain alert to evolving guidance, consultation outcomes and emerging best practice.
As scrutiny intensifies, those who embed PFAS considerations into their environmental risk management frameworks will be better positioned to manage liabilities and maintain compliance.
