ANNUAL REPORT 2016 Change Appearance Hair Clean Safety Nails Trust Oralcare Well-being Perfume Consumer Confidence Self-esteem Skin Protect Suncare Efficacy Science Behind Innovation eep in good condition CTPA Annual Report 2016

Contents

1 Board of Directors 4

2 Chairman’s Report 6

3 Executive Summary 7

4 Review of the Year 8

5 CTPA Events 16

6 Getting the Best from Exiting the EU 20

7 A Credible Authority: ‘Being More Brave’ 24

8 The Look Good Feel Better Experience: “Sisterhood of Positivity” 26

9 in Figures 28

10 CTPA Members 34

11 CTPA Committees 36

12 CTPA and Members’ Representatives to Europe 38

13 CTPA - Our Role, Member Advice & Public Voice 40 Annual Report 14 Financial Overview 42 for the year ended 2016

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CTPA Board of Directors

At the end of the year under review, the CTPA Board of Directors comprised:

Dr Gerald (Ged) O’Shea Lee Gelderd Chairman, CTPA Managing Director, Godrej Consumer Products (UK) Global Innovation Director, Walgreens Boots Alliance Christopher (Chris) How Massimiliano (Max) Costantini Chief Executive Officer, Swallowfield plc Vice-chairman, CTPA Chief Executive Officer, Mibelle Group Edward (Ed) Hughes Senior UK Counsel, Estée Lauder Cosmetics Aimee Goldsmith Vice-chairman, CTPA Dr Marie Kennedy Associate Director Communications – UK, Ireland & Nordics, Director International Compliance, Elizabeth Arden Procter & Gamble UK Joanna (Jo) Leonard Dionne Anderson Director Regulatory Affairs, Consumer Healthcare GB Managing Director, H Bronnley & Co UK & Ireland, GlaxoSmithKline Consumer Healthcare

Mark Bleathman Dr Amanda Long VP Brand Building Personal Care UKI, Unilever UK Director, EMEA Regulatory Affairs & Global Product Integrity Engineering, Avon Cosmetics Jacqueline Burchell Global Marketing and Product Development Director, Debbie Rix PZ Cussons Beauty UK General Manager, Mass,

Philip Durocher (6 Sept 2016) Alan Ross Vice-President & General Manager, Colgate-Palmolive (UK) Marketing Director Skincare & CHC, Northern Europe, Johnson & Johnson Paul Gaff General Counsel, Chanel Vismay Sharma (24 May 2016) Country Managing Director UK and Ireland, L’Oréal (UK)

Where Directors were appointed during the year, the date of appointment is given in brackets.

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Resignations from the Board during 2016

Michel Brousset (24 May 2016) Country Managing Director UK and Ireland, L’Oréal (UK)

Massimo Poli (6 Sep 2016) Vice-President & General Manager, Colgate-Palmolive (UK)

Brian Riddick (30 Nov 2016) Vice President UK & Ireland, Coty UK

Executive Staff Honorary Treasurer

Dr Christopher (Chris) Flower John Harold Director-General Company Secretary Deborah (Debbie) A Hunter Director of Commercial Affairs Joyce Traylen Dr Emma Meredith Director of Science

Olivia Santoni Solicitors Director, Regulatory & International Services Norton Rose Fulbright LLP

Auditors Crowe Clark Whitehill LLP

Bankers Barclays Bank Plc

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Chairman’s Report

Dr Ged O’Shea on 2016 Indeed, this is also important for third countries who export to the UK, whether or not those products are distributed more For the past three years, CTPA has conducted open members’ widely throughout the EU Member States. Thus, the work meetings to enable it to gauge members’ views on scope and begun in 2014 laid the foundations for our ability to lead activities. This has been part of a longer-term strategic review on this issue because of our global vision, our international of where and how we want to position the Association so contacts and the relationships we have established over as to meet future needs of the membership. The feedback many years. from members proved invaluable both in terms of confirming that our approach has broadly been exactly what they want, Brexit is an issue that will touch the lives of everyone, one way and also in giving the Association the mandate to pursue or another, in the years ahead but I am confident that the an enhanced role both in the UK and internationally. team at CTPA will be best placed to unite members and The process reached its conclusion during 2016 and involved politicians, here and abroad, to recognise the value of our re-appraising our workplan to ensure its priority and our industry and its products and therefore the need to protect its resource input were appropriately aligned to create the viability throughout and after the withdrawal process. necessary capacity to tackle the enhanced scope and future objectives for CTPA. Throughout, we were mindful of the As Chairman over the past four years, I have seen the forthcoming Referendum on the EU membership of the UK, Association’s workload grow but, ably led by Chris Flower, ‘Brexit’ as it has become known. the CTPA team is to be applauded for the way it continues to tackle new challenges with foresight and diligence In the event, the outcome of the EU Referendum was enabling members to concentrate on ‘day-to-day business’. unexpected by many but, thanks to the planning already In particular, I am pleased to see Olivia Santoni being undertaken, it did not derail the CTPA strategy or its recognised for her strategic work on ‘Brexit’ with her implementation. It did lead to CTPA declaring itself to be promotion to Director, Regulatory and International Services the focal point where the UK cosmetics industry could hold at CTPA. I would like to thank all the staff in this, my last its Brexit discussions and to establish CTPA as the source of report as Chairman, for their full support and for that of my factual information for members and the general public alike. Vice-chairs, Honorary Treasurer and fellow Board members. As the authoritative public voice of the UK cosmetics industry, However, it is only possible with the support of member CTPA was already well-placed to work on ensuring the companies contributing to the collective knowledge through cosmetics industry and its needs would not be overlooked meetings and work projects that allows the Association to as we step up political engagement in the negotiations that be as successful as it is. Thank you. will take place.

The creation of an EU Exit Strategy Group has allowed us to identify the key needs of the cosmetics industry post-Brexit and to develop a strategy that gives us the best chance of having them adopted. This relies to a large extent on demonstrating that the solutions we identify for the UK industry are also solutions that will work equally well in the future for our EU partners, with whom we trade in virtually equal measure with 65% import and 66% export.

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Executive Summary

From l-r Dr Chris Flower CTPA Director-General Max Costantini CTPA Vice-chairman Aimee Goldsmith CTPA Vice-chairman John Harold Honorary Treasurer

View from Dr Chris Flower

2016 presented a number of challenges on top of those The European Commission’s 2016 report on compliance with routinely handled by the CTPA in its role as the authoritative the Common Criteria for Cosmetic Claims received little public voice of a vibrant and responsible industry. attention in the media. The report showed 90% of nearly The Association had to seek a new home and in April it 39,000 cosmetic claims investigated by the competent moved to Sackville House, Piccadilly, after more than twenty authorities of the Member States were compliant with the years in the previous offices. This provided opportunities to Common Criteria, a figure consistent with an extensive survey review and streamline internal operations and add new for Cosmetics Europe by the independent European Advertising capacity. The actual move happened in two days, with no Standards Alliance (EASA). No other industry sector advertises interruption to member services; testimony to the planning as much and no other industry sector has been investigated as and commitment from the staff as a whole, including key extensively and found compliant. We should be proud of that, service providers, Solutios and IOR. but also be on our guard to ensure we do not slip. To do so invites further scrutiny from those who do not really know In 2016 the issue of plastic microbeads used in a minority of our industry or its ability to substantiate the claims it makes cosmetic products took centre stage. Although the European but would themselves happily make unsubstantiated claims industry issued a recommendation in 2015 that they should against us or our ingredients. be removed from products where they clearly go ‘down the drain’ in use, nevertheless the UK’s Environmental Audit I finish with sincere thanks to all of those individuals who Committee (EAC) conducted hearings of evidence during have helped us during 2016, by participating in our many 2016 and as a result the Environment Minister said the UK committees and their work and by completing the surveys will introduce a ban in 2017. we have conducted. Without your input, we would not be able to provide you, the members, with the level of service The Department for Environment, Food and Rural Affairs to which we aspire. (DEFRA) has consulted on its proposals for the UK ban and CTPA has responded on behalf of members.

Evidence from industry, academia and NGOs alike clearly demonstrates that plastic microbeads from rinse-off cosmetic products represent a tiny, reducing, fraction of the plastic entering our seas but it was this tiny cosmetic Executive Comment use that gained the headlines. We anticipate that 2017 will bring forth evidence-based, proportionate legislation, As anyone who has worked in a trade association environment aligned with industry commitments, so as to create the will know, gaining members’ consensus whilst also challenging ‘level playing field’ proposed by the EAC. the norm is not easy. We are proud to say that at CTPA the Board of Directors has the pleasure to work with The plastic microbeads story clearly indicates once again that far-sighted and talented staff who work on behalf of the if a link can be established between the cosmetics industry cosmetics industry at a strategic and international level and any issue, we will be in the headlines. However, through to find the ‘one-voice’ positions that make a difference. early, consistent and co-ordinated action based on facts and In spite of moving goalposts, this vibrant, innovative and data we can demonstrate trustworthiness as an industry. responsible industry must be enabled to do what it does best: delivering high-quality products that enhance well-being and We have acted responsibly as an industry in stopping their which boost the confidence of millions of people daily. use in cosmetics and we look forward to seeing action taken globally to stem the increasing tide of plastic marine litter from the major sources.

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Review of the Year

European Cosmetic Products Regulation (CPR)

Throughout 2016, the EU Cosmetic Products Regulation The Commission published its report in September 2016 (EC) No 1223/2009 (hereafter the ‘Cosmetics Regulation’) acknowledging that 90% of the 38,995 claims analysed continued to evolve to ensure the highest standards of were compliant with the Common Criteria; this figure is human safety. Seven Regulations (Adaptations to Technical consistent with the findings of an extensive survey Progress, ATPs) to the Cosmetics Regulation were published conducted by the independent European Advertising in the Official Journal to the European Union during 2016. Standards Alliance (EASA) for CE on the operation of The ATPs included new ingredients added to the positive its own Charter and Guiding Principles for Responsible lists for allowed uses, additional permitted uses for Cosmetic Advertising and Marketing Communication. existing ingredients and removal of certain ingredients The conclusions of the Commission’s report were that the from the Annexes. existing European regulatory framework for claims and advertising of cosmetic products is very comprehensive and CTPA and its members worked with European and ensures a high level of consumer protection whilst allowing international colleagues through Cosmetics Europe (CE) the European cosmetics industry to be competitive within committees to address a vast array of issues, the key the EU and the rest of the world. However, the report noted elements of which are summarised in this review. that ‘free from’ and ‘hypoallergenic’ claims should undergo further Commission review. Claims Article 20.2 of the Cosmetics Regulation requires the Animal Testing European Commission to write a report, in 2016, In September 2016, the European Court of Justice (ECJ) issued on advertising practices and the self-regulation of the its ruling on the case brought by the European Federation for industry, using the ‘Common Criteria’ as a reference. Cosmetic Ingredients (EFfCI). The ruling confirmed that data In order to issue the report, the Commission conducted obtained from animal testing carried out in countries outside a survey across Europe to see if cosmetic advertising of the EU cannot be used to prove the safety of a product for was adhering to the Common Criteria. The survey, the purpose of placing it on the EU market but also that such initiated in 2014, covered 21 Member States and analysed testing does not in itself constitute grounds for invoking the 38,995 cosmetic claims. The Commission reviewed the marketing bans in the EU. legal compliance with the Common Criteria and looked at the corrective measures that the Commission and Member States take in cases of non-compliance. The survey addressed cosmetic claims across various media i.e. on-pack, in print, online and for broadcast.

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Ingredient Safety

The European Commission’s expert scientific committee, the Scientific Committee on Consumer Safety (SCCS) received 11 mandates to review ingredients throughout 2016. Nine draft opinions and 12 final or revised opinions were issued. Hair dyes formed a significant part of the work, as part of the Commission’s hair dye strategy. The ultimate aim of the strategy is to create a positive list for hair dyes as part of the Cosmetics Regulation and, prior to this, all hair dyes intended for inclusion in a positive list must be assessed by the SCCS. CTPA members can keep up-to-date with the work of the SCCS via the SCCS Updates Issue tracker.

Preservatives 2016 has seen a continuation of the focus on product preservation. Notably, the Cosmetics Regulation was amended to prohibit the use of methylisothiazolinone in (MI) leave-on products. A further restriction on its use in rinse-off products is expected in 2017.

A two-phase strategy on product preservation was established at Cosmetics Europe (CE) in order to secure an adequate palette of preservative ingredients and encourage the development and approval of new preservative ingredients. The strategy began by determining the extent to which Annex V preservatives are being used. CTPA is represented on the CE Expert TeamProduct Preservation and members have contributed to the requests for information.

In 2017, the next phase of the strategy will take place. A detailed membership survey will be conducted in order to refine the consumer exposure data for risk assessments and to obtain information that can be used to understand preservative usage across specific product types.

Several workshops, all attended by industry, the Commission and Member State representatives, have been run. The workshops addressed processes and methodologies for safety assessment andrisk management and also considered new preservative materials and multi-functional ingredients. The Commission has issued an infographic explaining the importance of preservatives in cosmetic products.

Nanomaterials As reported by CTPA last year, under the Cosmetics Regulation there is a legal obligation for the Commission to publish a catalogue of nanomaterials used in cosmetic products. However, it became apparent when preparing for that catalogue that some materials had been erroneously listed as ‘nano’ upon notification. The publication of this information by the required date would have resulted in the inclusion of a large number of non-compliances in product notifications.

The cosmetics industry was provided with the possibility to take corrective action prior to publication of the catalogue and this Source: European Commission led to a reduction in the number of inconsistencies. As a large number still remained, the Commission announced it would The European Commission has issued an delay publication of the catalogue and Member State Competent Authorities have continued in 2016 to contact Responsible infographic explaining the importance Persons who were deemed to have incorrectly notified of preservatives in cosmetic products. non-nanomaterials as nanomaterials. At the year end, we were still awaiting publication of the catalogue of nanomaterials by the Commission.

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Endocrine Disruptors CTPA is a member of the CE Expert Team Endocrine An endocrine disrupting substance is defined by the World Modulation. The group is vigilant in monitoring the Health Organisation (WHO) as an exogenous substance or actions being taken in other sectors and mindful of the impact mixture that alters function(s) of the endocrine system and they could have on cosmetic products, since any criteria to consequently causes adverse health effects in an intact organism. determine endocrine distruptors for other Regulations will have an impact on the cosmetics industry. The Biocidal Products (BPR) and Plant Protection Products (PPPR) Regulations state that the Commission must create specific Carcinogenic, Mutagenic and Reprotoxic (CMR) Substances scientific criteria to determine whether or not a substance has Substances classified as CMR may only be used in cosmetics endocrine disrupting properties. The Commission began this products if they meet specific criteria designed to ensure that process in 2013 with a ‘roadmap’ and a public consultation they are safe for use under the conditions and concentrations on possible options for setting criteria was launched in 2014. at which they will be used. Since 2010, the Commission had considered that all CMR substances classified by the Throughout 2016, the Commission conducted a paper Classification, Labelling and Packaging (CLP) Regulation exercise to test a proposed criteria. 600-700 substances were were automatically prohibited from use in cosmetics without screened, including 51 cosmetic ingredients. The Commission the need for an Annex II entry in the Cosmetic Regulation. clearly stated in its report of the results, published in June, that substances were not included in the screening process In September 2016, following consultation with the Legal because they were suspected to be endocrine disruptors: Services, the Commission announced that it is necessary they were chosen solely to test the effectiveness of the criteria. for CMR substances without special authorisation for use in cosmetics to be added to Annex II in the Cosmetics The proposed final option to determine endocrine disruptors Regulation, or removed from the positive list if appropriate, for the BPR and the PPPR is to use the World Health within 15 months of the CMR classification application Organisation (WHO)/International Programme on Chemical date under CLP. Safety (IPCS) definition (hazard identification). The next step is for Member States to vote on its adoption. Member States It is anticipated that all CMR classifications since 2010 will remain divided on this issue. The vote will take place in 2017. be transferred to Annex II or removed from the positive lists during 2017, with the exception of those few whose In addition, Article 15(4) to the Cosmetics Regulation continued use is being supported by the cosmetics industry. states that the Regulation must be reviewed with regard to substances with endocrine disrupting properties. Public consultations took place during 2016 on the proposed The Cosmetics Unit at DG Growth needs to look at the CMR classifications for pentetic acid, pentasodium pentetate current processes to ascertain whether or not the Regulation and titanium dioxide. Dossiers have been submitted to the already has appropriate processes in place to identify European Chemicals Agency (ECHA) to support a proposed endocrine disruptors and maintain consumer safety. It is the classification for sodium n-(hydroxymethyl)glycinate and view of the industry that the Regulation is already sufficiently zinc pyrithione. ECHA’s Risk Assessment Committee (RAC) robust in this matter. The SCCS has also stated that the opinions on the proposed classification for salicylic acid, current criteria and processes for assessing endocrine-active acetaldehyde and tetramethrin were published. properties are robust. A publication from the Commission concerning the review of the Cosmetics Regulation with CTPA members can keep up-to-date with proposed regard to substances with endocrine activity was expected in classifications and their implications via the CMR Issue tracker. December 2016. However, this has been postponed.

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Related Chemicals Legislation and Environmental Concerns

In addition to the Cosmetics Regulation, there are other Access and Benefit Sharing (ABS) Regulation considerations which need to be taken into account at The Commission continued to work on guidance for the different stages of the product lifecycle when developing ABS Regulation throughout 2016. Users of genetic resources a cosmetic product. For example, the Access and Benefit or traditional knowledge may need to fulfill obligations to the Sharing (ABS) Regulation concerns research and development provider country under the ABS Regulation. Official guidance activities, which would take place at the very early stages on the scope of the application and core obligations across of product development. Then, at the end of a product’s life, all sectors was published by the Commission in 2016 and environmental considerations in terms of disposal and the sector-specific guidance is planned, in collaboration with fate of ingredients need to be taken into account. industry. Sector-specific workshops are expected in 2017. A Reference zone page is available on the CTPA members’ website with full details.

Plastic Microbeads There has been a lot of activity around plastic microbeads In September, the UK Government announced a proposal throughout 2016. Media and NGOs’ attention has focused to ban the use of plastic microbeads in cosmetic products on plastic microbeads in cosmetic products as part of the that are likely to reach the marine environment. The UK growing concern over plastic litter in the oceans. Government subsequently issued a response to the EAC report in November, reaffirming its commitment to implement Despite the very minor contribution from cosmetic and personal new legislation and commissioning an investigation by the care products, in order to encourage sector-wide best practice, Department for Environment, Food and Rural Affairs (DEFRA) Cosmetics Europe (CE) released a recommendation in 2015 for into any possible health impacts of microplastics. its membership to discontinue use of solid plastic microbeads in rinse-off cosmetic products for cleansing and exfoliating purposes, In December, DEFRA launched a public consultation on the although many companies were already taking action prior to this. use of plastic microbeads in cosmetic products and other consumer goods. The purpose of the consultation was to In March 2016, CE launched a membership survey to seek views on the proposals to ban the manufacture and understand the scale of use of these ingredients in cosmetic sale of cosmetics and personal care products containing products. During the same month, the UK Government’s plastic microbeads in the UK which may harm the marine Environmental Audit Committee (EAC) launched an inquiry environment. The consultation also sought to gather into the environmental impact of microplastics. CE and evidence on the extent of the environmental impacts of CTPA both contributed to the inquiry. As part of the inquiry, further sources of potential marine plastic pollution to CTPA was asked to provide the EAC with a report on the guide future UK actions to protect the marine environment. degree to which member companies of CTPA were actioning CTPA set up the Plastics & Polymers Working Group which the recommendation issued by CE. A CTPA survey showed developed a robust response to the public consultation in that since the recommendation the usage of plastic strategic discussion with CTPA’s communication and public microbeads by weight had fallen by 70% and all responding affairs specialists at Teneo Blue Rubicon. It is anticipated that companies still using plastic microbeads reported that their the Government will issue legislation during 2017 for phase-out would be completed by the end of 2018. implementation in 2018.

Globally, many other countries have announced commitments to ban the use of plastic microbeads in rinse-off cosmetic products.

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Wet Wipes In 2016, a major campaign by UK water companies, in collaboration with the Marine Conservation Society (MCS), was launched to highlight to Trading Standards and the UK Government the problem of ‘flushable wipes’ being disposed of into the UK sewerage system.

CTPA was invited to DEFRA for a roundtable discussion with representatives from industry, the Government and water companies to discuss flushability.

Improving consumer awareness of the need to dispose of non-flushable wipes appropriately was recognised as a key priority. The non-wovens trade association, the European Disposables and Nonwovens Association (EDANA), has been leading on this issue. Flushability has been an area of focus for EDANA for several years.

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International

2016 has seen much activity internationally as well as in the EU. As part of our wide global reach, the CTPA’s Director-General, Dr Chris Flower, regularly participates in the International Association Collaboration (IAC) which brings together a large number of associations from all parts of the world. In February 2016, the IAC met in the US during the Personal Care Products Council (PCPC) annual meeting and also during Cosmetics Europe Week in June 2016. These meetings allow for shared experiences, joint working and agreement on ‘one-voice’ approaches to common issues.

Through these contacts, CTPA monitors and keeps members informed of developments across the globe. This work is ably assisted by members of the CTPA International Committee and we would like to thank them for their valuable input which has helped to identify emerging issues and to seek practical solutions for the benefit of all members.

Credit: LILIA PHOTO Credit: LILIA PHOTO

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1. International Association Collaboration (IAC) 2. l to r Beta Montemayor, CCTFA; Dr Chris Flower, CTPA; 3. l to r Judy MacArthur Clark, Home Office;Dr Chris Flower, Meeting, USA, 2016 Darren Praznik, CCTFA Olivia Santoni, CTPA; Chao Chen, CFDA; Luo Feiya, NIFDC; Jenny Yao, British Embassy Beijing

Asia China Since 1 December 2016, all cosmetics placed on the Chinese China has been working in collaboration with CE and the market must comply with the Technical Safety Standards European Centre for the Validation of Alternative Methods for Cosmetics. This text replaces the Hygienic Standard for (ECVAM) on the development of alternative methods to Cosmetics 2007 and includes many updates to ingredient animal testing, with a focus on ensuring that local laboratories restrictions and testing methods. In addition, sunscreen will have the capacity to reproduce the methods selected. labelling requirements were updated in June 2016. Early in 2017, representatives from the CFDA and the National Institutes for Food and Drug Control (NIFDC) travelled In 2017, we are expecting the new overarching legislation, to Europe to attend the Safety Assessors Course at the Vrije the Cosmetic Supervision and Administration Regulation Universiteit Brussels. They took the opportunity to meet CTPA (CSAR), to be published and for it to replace the current together with representatives from the Home Office and the Cosmetics Hygiene Management Rules (CHMR). British Embassy in Beijing as well as attending international meetings in Brussels with CE. In preparation for the upcoming CSAR implementation, the State Council suspended the CHMR for the Pudong India Area, initiating the ‘Pudong Trial’. The pilot aims at trialling India is currently undergoing regulatory reform, and as a result an in-market system for imported non-special cosmetics has started a process of revision of its cosmetic regulatory and introducing a ‘Responsible Person’ approach. Therefore, framework. This initiative has led to positive developments in December, the China Food and Drug Administration (CFDA) such as the inclusion of a new mercury limit of 1ppm, in line released the ‘Announcement on Implementing Filing with international practice. Management for First Import Non-special use Cosmetics through Shanghai Pudong New Area’. This pilot study is being Additionally in 2016, the Indian Government launched an followed with interest by CTPA and its members, with many electronic portal where importers must register their products companies participating in the trial. Key changes offered by online. Certain technical issues are still under discussion. the filing system are the absence of pre-market approval and a shortened time to market products in China. The trial will CTPA was pleased to meet the Indian Beauty & Hygiene continue until 21 December 2018 and it is hoped that it will Association (IBHA) several times during the year at both be seen as workable by the Chinese authorities for rolling CTPA and CE offices to assist this work with the CE Task out across China. The risk-based approach to raw material Force India. A visit to India by CE’s Director-General in registration, proposed by the CFDA, is unlikely to be adopted January 2017 was also used to raise awareness of how the before the implementation of the CSAR. Therefore, currently EU addresses cosmetics regulatory challenges and ensures every new ingredient still needs to be registered. that products placed on the market are safe.

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Indonesia CTPA Help for Members on International Issues On-going discussions have taken place concerning the CTPA members can keep up-to-date with international impending implementation of the halal legislation, issues via the International Issue tracker on our published in 2014. members’ website.

The law will require products, including cosmetics, to be certified halal or to inform the consumer that the product is not halal. The scope of the new law will include the manufacturing facility, distribution chain, transportation, raw materials and potential for cross-contamination. Other sectors, including pharmaceuticals and food, are also impacted.

The law is expected to come into force in 2019. Three implementing texts are still awaited, one of which will include the criteria for halal cosmetic products.

The EU is currently negotiating two free-trade agreements with India and Indonesia in order to The CTPA Packaging Manual has historically provided facilitate ease of trade. Post the UK’s Exit from the information for members on labelling of cosmetic EU, it will be important for the UK to ensure products for the EU as well as certain other non-EU continuity for UK exporters. markets. The manual has been in existence since the 1980s covering the Cosmetics Regulation (and the Cosmetics Directive before it) in detail plus weights and measures, specific labelling for products such as Middle East and North Africa (MENA) sun protection and oral care as well as environmental In 2016, the Gulf Cooperation Council (GCC) Standardisation labelling, transport requirements, packaging waste, 3. l to r Judy MacArthur Clark, Home Office; Dr Chris Flower, Organisation (GSO) published two key standards relating advertising and claims, price marking and promotional Olivia Santoni, CTPA; Chao Chen, CFDA; Luo Feiya, NIFDC; Jenny Yao, British Embassy Beijing to the safety requirements and acceptability of claims for offers etc. It provides an essential tool which is only cosmetic products, introducing further harmonised available to members for a small supplementary requirements for country members of the GCC. annual subscription.

In Egypt, two decrees have been published by the Ministry During 2016, the CTPA regulatory and international of Trade. The decrees concern trademark and factory teams worked to separate the UK, EU and EEA registrations and the need to obtain a Certificate of Inspection requirements from key international markets to form for shipment clearance at borders. The decrees have posed two manuals. With input from the CTPA’s International significant challenges for companies and the CE Interested Committee members, the new International Manual Parties Group Middle East and North Africa (CE IPG MENA) will include the regulatory framework plus any has worked diligently to address those challenges to help registration process and specific labelling requirements prevent interruption of trade. for each country. Initially starting with 10 key markets, the manual will evolve as further market information Throughout 2016, challenges have also been faced with becomes available. This will help provide members regards to the Saudi Arabia notification platform. Issues linked with a route-map through sometimes quite complex to confidentiality and claims rejection are still being handled procedures when supplying products to new markets by CE IPG MENA. The system has already been significantly or in a rapidly changing or remote market environment optimised prior to its launch in 2017. Fees were still unknown where information may be hard to come by. at the end of 2016. The new manuals are expected to go live later in 2017 USA and Japan once the new platform has been thoroughly tested. The US Food & Drug Administration (FDA) issued a final rule in Subscribers to the current Packaging Manual will then 2016 prohibiting the use of 19 active ingredients in consumer be able to access both manuals during a trial period OTC antiseptic wash products. Triclosan and Triclocarbon are before a separate subscription becomes payable. are included in the list of prohibited ingredients. Also, on 6-7 November 2017, the CTPA’s well-attended The Ministry of Health, Labour and Welfare (MHLW) in Japan biennial two-day International Conference will published a circular to ban the same ingredients in accordance be returning to bring together experts from across with the FDA decision. the globe to provide an update on key regulatory issues and highlight what is being done to remove trade barriers.

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CTPA Events

Cosmetovigilance and the Reporting of SUEs Interactive Seminar

The CTPA Cosmetovigilance and the Reporting of Serious Undesirable Effects (SUEs) seminar held on 8 February 2016 looked at cosmetovigilance practices in other EU Member States and beyond as well as the views of control authorities to review and develop industry ‘best practice’.

A key question tackled was how to encourage the consumer to contact companies when they experience an Undesirable Effect (UE) to a cosmetic product and how to ensure that information is captured properly and acted upon if necessary. Members and their safety assessors were able to pose questions about adverse event management and reporting and discussed commons issues with UEs and SUEs. l to r Sue Wemyss, Estée Lauder Companies; Janet Winter, International Throughout 2016, CTPA continued meetings with dermatologists Cosmetics & Regulatory Specialists; Stephen Kirk, Walgreens Boots Alliance; Beverly Buttle, Estée Lauder Companies; Françoise Audebert, FEBEA; from the British Society for Cutaneous Allergy and members Richard Knight, Essex Trading Standards; Emma O’Brien, Irish Health to further understand where the key challenges lie and to take Products Regulatory Authority forward a number of ideas and suggestions.

REACH and Cosmetics Top Tips Before 2018!

CTPA hosted a successful one day seminar titled ‘REACH Feedback from attendees: and Cosmetics Top Tips Before 2018!’ on 9 June 2016. “I just want to take this opportunity to say The event, specifically tailored for the cosmetics industry, provided attendees with the opportunity to identify the how well structured and informative the challenges of the beauty sector with regards to Registration, day was. In my opinion you achieved what Evaluation and Authorisation of Chemicals (REACH) you set out to achieve.” (EC No 1907/2006) and how to solve them. The event took place at the Royal Society of Physicians in London and brought together CTPA members and other stakeholders from the “I attended the CTPA REACH Seminar yesterday at cosmetics industry to discuss the key risks and challenges the Royal College of Physicians which I must say, associated with the ingredient supply chain ahead of the 2018 deadline. The day concluded with a busy interactive was a brilliant day. Really informative and lots case study session. It was the opportunity for attendees to of really helpful information, thank you for this.” work on real life practical cases and to engage with experts.

REACH Seminar delegates Richard Keightley, Acheson & Acheson Penny Schuler,

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1. Ged O’Shea, Chair CTPA/WBA 2. Loïc Armand, President CE/L’Oréal France 3. l-r Debbie Hunter, CTPA; Peter McManus, CBI; Dr Emma Meredith, CTPA; Steve Paul, Chair CTPA RPC/PZ Cussons (UK); Jim Thomas, Vice-chair CTPA RPC/Deb Group; Olivia Santoni, CTPA; Max Costantini, Vice-chair CTPA/Mibelle Group CTPA Tackles Brexit – Implications for the Cosmetics Industry

A successful half-day seminar ‘CTPA Tackles Brexit – Implications The second session ‘The Impact of the Withdrawal on the for the Cosmetics Industry’ was held on 5 October 2016 Cosmetics Industry - Regulatory Impact and CTPA Role’ providing attendees with the opportunity to identify the began with Debbie Hunter, Director of Commercial Affairs, challenges of the UK beauty sector with regards to the CTPA, who gave an overview of the way in which CTPA upcoming exit of the UK from the European Union. engages with its members through one-to-one discussions, The event took place at the Royal Society of Medicine in its committees and the information placed on the members’ London and brought together CTPA members, non-members, online website. sister associations and government representatives to discuss the key risks, opportunities and challenges associated with Olivia Santoni, CTPA, joined by Steve Paul, Chair of the ‘Brexit’ ahead of triggering Article 50. CTPA’s Regulatory and Packaging Committee (RPC) and Packaging Development Manager, PZ Cussons (UK) and Dr Ged O’Shea, Chairman of CTPA and Global Innovation Jim Thomas, Vice-chair of the CTPA RPC and Group Director of Walgreens Boots Alliance, welcomed delegates Regulatory Manager, Deb Group, introduced the impact noting that the event would be chaired by Max Costantini, of Brexit on the UK and EU cosmetics industry; highlighted Vice-Chairman of CTPA and Chief Executive Officer of the CTPA’s assessment of the potential business impacts, Mibelle Group. Loïc Armand, President of Cosmetics Europe and outlined the key objectives of the future Cosmetics and President of L’Oréal France, provided a keynote speech Regulation in view of the possible implications of Brexit. highlighting the support of Cosmetics Europe to “preserve the free flow of products across the channel in order to offer The final Q&A panel, with all speakers joined by our consumers the products they want and to ensure a fair Emma Meredith, Director of Science, CTPA, provided the treatment of our employees”. opportunity for the audience to ask a number of questions around the repeal and enforcement of EU and UK laws, The first session of the seminar ‘Withdrawal of the EU – the importance of trade, understanding of non-tariff Process and Industry Involvement’ was opened by Olivia Santoni, barriers within the political discussions and the impact, the then Head of Regulatory and International Services, CTPA, solutions and opportunities for the cosmetics sector. who presented the process of Article 50 and potential models CTPA was able to demonstrate the proactive approach being for the future relationship with the EU; covering the different taken with regard to Brexit and the work being done at both EU institutions involved in the process of Article 50 and UK and EU level with sister associations to ensure consistent highlighting the key decision processes once Article 50 messaging of the key priorities for the industry. is triggered. The day concluded with the closing remarks of Max Costantini, Members then welcomed the intervention of Peter McManus, reiterating that CTPA will cut through the political noise to Senior Campaigns Advisor at CBI, who explained how the provide its members with clear information based on facts and CBI has engaged with business and sector associations in understanding; as well as bringing the UK cosmetic industry’s order to relay the key messages to both the Department for needs to the attention of the key decision makers and Exiting the EU (DExEU) with David Davis MP and the influential people ahead and during the negotiations to Department for International Trade (DIT) with Dr Liam Fox MP ensure the best possible outcome. and other relevant political stakeholders. In particular, he highlighted the CBI report ‘Shaping our Future’ which contains three key ‘asks’: a clear timetable and a plan; CTPA has a section on its public website that provides Government working with business; and continuing UK information on the process of withdrawal, the implications influence over EU legislation. He noted the importance of for the cosmetics industry (in the UK, the EU and ‘business speaking up’ and engaging with their sector internationally) and the Key Asks ‘Getting the Best organisations and their own MPs in this respect. from Brexit’. These can all be downloaded from: The first session closed with a Q&A panel. www.ctpa.org.uk/brexit

CTPA will be running regular events throughout 2017 to keep members updated on this key issue.

17 5 CTPA Events

Members’ Event – ‘Be More Brave’

Graham McMillan Louise Vaughan Max Costantini Olivia Santoni William Reynolds Dr Ged O’Shea Dr Emma Meredith Teneo Blue Rubicon Teneo Blue Rubicon Vice-chair CTPA/ CTPA The Home Office Chair CTPA/Walgreens CTPA Mibelle Group Boots Alliance

The CTPA held its third member event on 23 November 2016 at BAFTA, 195 Piccadilly, London. The previous two events had provided CTPA with members’ views on the big issues of the day and what members wanted the Association to do for them. This had formed a very important part of the review by the Board and reinvigoration of the CTPA’s future strategy.

In particular, the ‘trust challenge’ was noted as having reached a pivot point and influencing perceptions grows increasingly more difficult in a globally connected campaigning world.

Members reflected on the challenges of protecting trust in this ‘shrinking world’, with three case studies looking at the challenges of correcting misinformation on the major sources of marine litter, the work being done by the Home Office in collaboration with the UK and European industry to reduce the numbers of animals used in tests globally; and the compliance evaluation by the European Commission on cosmetic claims. The theme of the event ‘Be More Brave’ was seen as an important reminder that members should work together with the Association to achieve credibility with regulators, stakeholders, the media and public alike.

Members discussed these points and more at the networking reception that followed the presentations, enjoying the convivial atmosphere of BAFTA and the opportunity to renew and make new acquaintances.

CTPA staff

A convivial atmosphere before, during and at the end of the presentations

18 CTPA Annual Report 2016

Cosmetics Basics

During 2016, the CTPA Cosmetics Basics workshops benefited a wide range of members including manufacturers, brand owners, sub-contractors and retailers.

These free workshops for members provide an overview of the pertinent EU legislative requirements for cosmetic products as well as giving members the opportunity to discuss specific issues they are facing in their everyday job. It is an excellent way to learn more about membership benefits and how to make the best use of CTPA services, including accessing the right person at CTPA for confidential one-to-one advice.

Erika Bonnegrace International Information Officer

Dr Stefano Guidone Regulatory Information Officer

Amanda Isom Technical Affairs Manager

Caroline Rainsford Scientific Information Officer

Member Webinars

In September 2016, the CTPA piloted its first webinar with the intention of helping members with specific topics with this type of service in the future.

US Regulatory Requirements for Sun Protection Products This members’ only webinar focussed on the US Regulatory requirements for sun protection products, providing an overview of the regulatory framework and a review of the FDA monograph process for Over-The-Counter (OTC) Sunscreen Drug Products.

Members found the format to be extremely useful and a full programme of webinars has therefore been planned for 2017.

Members’ questions to the panel

Supporting Education in Cosmetic Science

MSc in Cosmetic Science CTPA provides annual support to the MSc in Cosmetic Science course at the London College of Fashion (LCF), University of Arts. As well as financial course support, CTPA provides competitive bursaries to encourage high standards amongst the students and continuous improvement in results.

SCS Diploma in Cosmetic Science CTPA supports the aims of the Society of Cosmetic Scientists (SCS) which promotes education, research and collaboration to advance the science of cosmetics. An impressive 57 students passed the SCS Diploma in Cosmetic Science in 2016, a fantastic 20 with distinction. At the younger end of the education spectrum, the SCS Scrub Up On Science website provides practical chemistry for schools, specifically pupils in KS3 and KS4.

19 6

Getting the Best from Exiting the EU

The UK Referendum on 23 June 2016 set in motion a train of events that is likely to lead to the UK leaving the European Union and, thus, the European Community and Single Market i.e. ‘Brexit’ as it became known. CTPA has to remain completely neutral regarding the referendum outcome and cannot express approval or disapproval, but it does have a role to play in seeking the best possible situation for the UK cosmetics industry post the UK’s Exit from the EU. CTPA can and therefore will express views and concerns as to the future. Put simply, Brexit poses significant challenges for the cosmetics sector and those challenges do not apply solely to the UK but also to our European and international partners too. This will require collaboration with our members as well as sector and sister organisations worldwide to work through the likely problems ahead.

At the heart of society – the industry’s ongoing contribution (2016 data)

60%

positive impact on well-being, image, The UK Cosmetic self-confidence & mood Industry employs S >40% benefits in social, o 200,000 people c love, family & professional ie t t n life & health y 25% of men e &

m find it hard Every 10 Workers H y to live without o employed by the 88% of people e l aftershave a p find it hard to l industry will t m support two jobs in live without h E

cosmetics the value chain

The industry is 33% of women

constantly taking find it hard to

Handwashing live without steps to increase

with soap reduces or

44% diversity and

risk of diarrhoea

equality in the

by 44-47% & acute

workplace

respiratory illness by 23% LGFB - a unique

international industry

charity supporting

cancer patients

56%

£2.34 bn exports to Synergistic

nd

2 largest EU and £1.20 bn to collaboration with

market in EU non-EU countries Academia for

innovation and

sustainability of

nd

2 largest country cosmetics

in EU for Small and Medium Enterprises (SMEs)

Eco n “500 million people in nom atio y, Research & Innov Europe use cosmetic products every day. Cosmetics help people feel more confident in their appearance, enhance their feeling of well-being and contribute to positive self-esteem.”

Dr Chris Flower Director-General, CTPA

20 CTPA Annual Report 2016

Once the outcome of the referendum was known, CTPA immediately set about becoming the central source of factual information for members and non-members alike so Cosmetics Industry as to ensure consistent and reliable information was made available and to counter the conflicting advice and even Key misinformation being provided from other sources. To that Asks end, it established new areas on the CTPA website, one for 3 the general public and an additional members-only section. Remain in the Customs Union until a These have been populated with the facts regarding the Free Trade Agreement with the EU is reached Brexit process and likely timings as well as an assessment of A tariff-free market for the export / import of the possible options for the UK’s future relationship with the products, raw materials and commodities will be remaining 27 EU Member States. It was clear that none of vital to safeguard an efficient supply chain. the existing models work fully, either for the UK as a whole or for the cosmetics sector in particular. Thus, a more detailed Provide a clear and reasonable phased analysis of how to get the best from Brexit was necessary. implementation for changes to UK/EU trade from leaving the EU to signing a A broad-based EU Exit Strategy Group was convened, full Free Trade Agreement managed by Olivia Santoni and reporting to the Board. A reasonable phased implementation will This group has examined the EU Cosmetics Regulation in minimise impact on business continuity and detail, identified those specific instances where a simple provide financial stability for companies. ‘cut and paste’ of the EU Regulation into UK law as part of the so-called ‘Great Repeal Bill’ will not work because of Avoid additional administrative trade barriers references to European institutions to which the UK may by securing Administrative Cooperation with lose access, and has sought ways to work around them. EU Competent Authorities for cosmetics after These, along with the key facts and figures explaining the the UK has left the EU importance of our industry in terms of fiscal contribution, A specific agreement for cosmetics will exports, employment and innovation as well as the allow UK companies to maintain easy trade importance of the products to consumers at large, have been with the EU. published in the CTPA position paper ‘Getting the Best from Brexit’. This has been shared with the Department for Exiting the EU (DExEU), the Department for Business, Energy and Industrial Strategy (BEIS) and the Department UK Exports Worldwide UK Imports Worldwide for International Trade (DIT) as part of a continuing dialogue to show how CTPA can provide a solution to one of the £3539.6m £3699.5m many regulatory problems the UK Government will face during the negotiations. Indeed, with many thousands of £2342.2m £2482.4m pieces of legislation likely to need amendment after the Great Repeal Bill is enacted, such a solution should be welcomed. to EU from EU

Gaining acceptance for the solution is complex and involves convincing the Government of the problems that our sector will face and the consequences of not solving those problems. To achieve this we have been demonstrating how the proposal would work in practice and providing Government with the arguments to enable it to support the proposal completely. At the same time, CTPA is working with the national cosmetic m m associations in the other EU Member States to show that this Irish Republic 599.3 France 744.6 is not just a UK problem. We import from the rest of the Germany 455.0 USA 539.2 USA 339.5 Germany EU approximately the same value of cosmetic products as we 520.2 Belgium 309.7 Poland 256.7 export to them. It is therefore necessary to demonstrate how Netherlands 205.8 China 255.0 our proposal will work to everyone’s advantage, because our France 202.9 Italy 235.7 issues are equally their issues. Spain 103.5 Netherlands 178.3 UAE 103.3 Spain 169.7 Poland 102.9 Belgium 151.3 Italy 79.8 Irish Republic 112.6

21 6 Getting the Best from Exiting the EU

Having engaged with our colleagues in the national associations, CTPA is supplying the detailed information necessary to help them convince their own Government to support the proposal because it will help both their own cosmetics industries and the work of the competent authorities. A crucial element of this stage will be the involvement of key business leaders from within the cosmetics industry, both international and from local SMEs to show regulatory competent authorities and politicians how an important industry sector must be protected from the damage Brexit would otherwise inflict upon all players. The establishment of a win-win position is not a given in the face of an ever-evolving and shifting landscape which may occur during the negotiations, which is why the involvement of business – the creator of wealth and employment, research and progress – will be so vitally important.

CTPA is working to bring the cosmetic industry’s needs to the attention of key people ahead of and during the “It would be extremely detrimental for negotiations. We have been working in collaboration UKcompanies to be forced to recall with many other sectors and relevant stakeholders. This includes, government departments but also sister existing compliant products should they associations as well as the Confederation of British no longer comply as a result of the UK Industry (CBI). exiting the EU. It would be equally At the Lord Mayor’s Business and Investment dinner on disruptive to EU companies which export 2 March 2017, Paul Drechsler, the President of the CBI, argued that leaving without a deal would bring products to the UK.” significant tariff and regulatory barriers to trade and would open up a ‘Pandora’s Box’ for Britain’s businesses. Dr Chris Flower To illustrate his speech, Paul Drechsler provided 10 case Director-General, CTPA studies and started by explaining the issue for the cosmetics industry saying:

“Imagine you’re a small cosmetics firm in Stockport and shops in France sell your products. No deal? Without an EU office it’s illegal for those French shops to sell your products. A loss for you and for them.”

For at least the next two years, CTPA and our European quality and efficacy that cannot be re-created overnight. colleagues will be working hard to try to recreate the benefits UK exports may not be quite so welcome as before, of the EU Cosmetics Regulation that the Referendum outcome the non-tariff barriers to third country trade may seem threatens. For example, cosmetic products from the EU, and that much higher and the establishment of Free Trade therefore from the UK, are seen as aspirational by consumers Agreements with the other 195 countries of the world will all over the world, they trade on a history of strong regulation take decades to establish. The UK cosmetics industry is vibrant going back over 40 years; and that regulation is seen as the and innovative with expertise that provides a gateway to ‘gold standard’ by regulatory regimes internationally. Europe for many companies including partners overseas. Unless the future UK regulation of cosmetics is seen to achieve Let’s keep it that way! exactly the same, we throw away a 40-year history` of safety,

22 CTPA Annual Report 2016

The Issue of Product Information File (PIF) Duplication Efficacy

If after leaving the EU the UK is not regarded as being established in the European Community, UK companies exporting to the European Community Market will no longer be considered as ‘Responsible Person based in the Community’ and will have to set up arrangements with EU/EEA based companies to act as the Responsible Person (RP) on their behalf, or to acquire an office in an EU/EEA country. In addition, companies selling cosmetics in both UK and EU markets will potentially have to hold a Product Information File (PIF) in the UK as well as in another European country which could be in a different language.

Administrative cooperation with EU Competent Authorities after the UK has left the EU to allow companies to act as a recognised RP under the EU Cosmetics Regulation will avoid: Safety extra costs; the confidentiality risk of sharing the PIF with other stakeholders (in particular for SMEs); and challenges in post-marketing surveillance.

Costs

- setting up a new Responsible Person within EU; disproportionate costs for UK SMEs; - loss of business for UK service providers; - new responsibilities for distributors; - cross-border supply chain; - languages (translation of PIF); Quality - labelling & notification changes.

Confidentiality

- SMEs at risk of giving away their intellectual property to EU importers; - potential loss of intellectual property control for all companies.

Maintenance

- the PIF is a live document and requires regular update from the RP e.g. maintaining a record of market feedback.

Enforcement

- potential increase of number of PIFs in the UK; more resources (staff and time) needed; - loss of EU intelligence and support in post-marketing surveillance.

23 67

A Credible Authority: ‘Being More Brave’

During 2014 and 2015, CTPA spent time with its members Lost In Translation? understanding ‘what kept them awake at night’ and what The CTPA aims to provide members, non-members, would they do to prioritise and manage key issues if they were the media, stakeholders and consumers with the facts behind at CTPA. From the insights and suggestions it was clear that the headlines in this fast-paced, immediately connected world members supported the CTPA’s ambition but also wanted where the message has to be simple to be quickly understood. CTPA to be alert to global issues and work to address issues The explosion of social media channels has ensured that news before they appeared in the public domain. in one part of the world is quickly spread across continents regardless of time zones. With a few clicks, a news item During 2016, the CTPA Board can be shared by anyone but the facts or the real message MOR BE E 23 Nov instigated a strategic review of the can often be lost in the quest to encapsulate everything in Association’s priorities and assessed ‘soundbite’ form. It is often argued that this new method of CTPA MEMBER EVENT where resources should be applied, consuming snippets of information will see us begin to lose 2016 reviewed or deleted. At the members’ the ability to think for ourselves, to question the provenance BRAVE event in November 2016, a range of information and to seek out reliable sources rather than of case studies were showcased to taking everything we read or receive at face value. highlight a number of key issues together with insight from external experts and the outcomes (some ongoing) were A Forensic Approach considered. CTPA’s ability to think ahead and recognise when industry reputation was at risk and when consumer trust could be damaged was seen as the Association’s key strengths. As an industry that puts consumer safety at the top of the list followed by consumer satisfaction, it is also important to respond to consumer concerns.

In December, the CTPA Board agreed the importance of Correcting misinformation is therefore a central part of the building relationships with key stakeholders including NGOs, CTPA’s communications work. In 2016, a forensic approach the media and relevant government departments, to provide was taken to several key issues to reinforce our messaging the facts derived from working with suppliers and global and ensure that it could stand up to external scrutiny. experts within the industry. A key learning from the strategic Robust, evidence-based narratives that addressed key work was that: a global view is often necessary on critical concerns from a range of stakeholders were produced and issues; business needs to challenge itself to understand when members equipped with tools to help maximise those difficult business decisions need to be taken in order to messages. New and updated sections on talc, confidence in protect industry reputation in the longer term; reaching out chemistry and plastic microbeads were joined by collaborative to critical friends clearly has value but industry must be work on suncare and babycare. prepared to provide cross-industry commitments; mobilise industry experts early to plug knowledge gaps and underpin Mum’s Concerns the science behind cosmetic and personal care products. Working with Netmums, a Q&A The members’ event had been titled ‘Be More Brave’, and session was held in January 2016 the underlying long-termstrategy agreed by the Board going ‘How safe are cosmetics during forward was stated as: pregnancy and for babies – ask an expert’ when parents could pose Collaborate in an even more open-minded way; questions which were answered Think and behave globally; Be more Pro-active in through an online forum. An representing the industry’s current contribution and updated factsheet for parents future; and Reorganise ourselves to be as Agile as was issued and the babies, our audiences demand. toddlers and children’s section of thefactsabout was refreshed to provide easily navigable content. C T P A

We have evolved our emphasis and altered the focus of our ambition; still to be trusted to act responsibly for the consumer, but to increasingly be seen as “the credible authority for a vibrant and responsible UK industry.”

24 CTPA Annual Report 2016

“the authoritative public voice of a credible and responsible UK industry trusted to act responsibly for the consumer.”

Plastic Microbeads Collaboration with the British Skin Foundation, the British The cosmetics industry across the world has responded to Association of Dermatologists and the Royal Pharmaceutical environmentalists’ concerns over the potential for plastic Society was an important aspect of this work, ensuring that microbeads to cause harm to the marine environment. we were able to learn the viewpoints of important stakeholders Whilst the industry had introduced voluntary agreements and adapt our approach to support the industry accordingly. in the US and across the EU to stop their use in rinse-off products, the continued intense scrutiny by NGOs and the As a key source of credible, fact-based information that media has led to much confusion with the words explains the science behind the products we use and enjoy ‘microplastic’ and ‘microbead’ incorrectly being used daily, thefactsabout is routinely used by the media to better interchangeably. The CTPA worked with industry suppliers understand an issue, extract a timely quote from the CTPA’s and formulation experts to clarify terminology and to ‘In the news’ section and to help their readers with top tips explain the industry’s actions in a new ‘In-depth’ section about using their cosmetic and personal care products. on plastic microbeads on the CTPA’s consumer website, www.thefactsabout.co.uk. This highlights the success Signs of Succuess of the industry’s voluntary action in the UK and the EU. CTPA also had meetings with Fauna and Flora International Over 112,000 page views from over 67,000 visits to clarify industry’s usage and prepare CTPA’s submission to the UK Government’s consultation to introduce a UK ban on plastic microbeads in cosmetic products that could reach the 81% of visitors are new to the site with 13% coming from referrals marine environment. As part of our new and evolved working ambition, CTPA engaged directly and proactively with relevant Over 1500 Twitter followers government departments and special advisors to provide accurate information on the issue, and to offer the facts supported by science on an ongoing basis. Over 4000 YouTube views

Understanding Sun Protection Of nearly 200 contacts with the media, over a third used During May 2016, sun CTPA quotes in their articles experts worked with CTPA to produce a new infographic about the Significant peaks in traffic to the website are driven by rigorous way sun media stories, which reinforces that the site is being used protection products are as intended: to reassure consumers when issues arise. developed and tested to ensure consumer protection. Educational messages about the way We have continued to use Twitter @TheCTPA to link sun products work and to thefactsabout and the YouTube channel. Industry how to best use them stakeholders have boosted these efforts, propagating was also reviewed on our messages through retweets and mentions. thefactsabout, new videos were uploaded A relevant user base: ‘beauty’ is the leading term in CTPA to the CTPA’s YouTube followers’ biographies on Twitter, closely followed by ‘editor’, channel and a new ‘news’, ‘health’, ‘writer’ and ‘industry’ - all terms that indicate factsheet produced we are reaching the right people. which was also provided to the media with the CTPA’s Twitter followers have a wide reach online. More than infographic ahead of 20% have between 10 - 50,000 followers and 18% have the summer season. between 5 - 10,000 followers. This demonstrates the breadth and depth of CTPA’s position online.

Building relationships transparently online: we see evidence of effective relationship-building bearing fruit on Twitter in particular.

25 86

The Look Good Feel Better Experience: “Sisterhood of Positivity”

Over the past 22 years Look Good Feel Better (LGFB) has held confidence-boosting skincare and make-up Workshops and Masterclasses helping more than 130,000 women and teenagers who are struggling with the visible side-effects of their cancer treatment. The beauty industry fully supports this activity and together with partner companies provides funds, products, expertise and beauty consultants.

Internationally, the service is available through 26 different countries and together the Programme has reached 1.8 million people worldwide.

Cancer doesn’t discriminate and one in two of us will receive a diagnosis in our lifetime. It is sad that the need for the LGFB service continues to grow and therefore the need to rapidly expand both face-to-face and online support available to help people through this difficult time in their lives. It is not just the person who suffers but also family, friends and work colleagues will also be affected.

Seeing for yourself In May 2016 an inspirational new awareness video, ‘the Voices of Look Good Feel Better’, was launched to explain how the service helps cancer patients. The video gives an insight into what happens at a LGFB Workshop or Masterclass and the transformational impact it has on the women that attend. The video was nominated in the Charity Film Awards 2016.

LGFB would not exist without its incredible team of beauty volunteers. To celebrate their hard work and dedication and to help recruit new volunteers, a short video was made focussing on what it’s like to be a volunteer and how using their beauty skills volunteers can have a huge impact on women undergoing treatment.

26 CTPA Annual Report 2016

“LGFB has reached over 130,000 women and teenagers living with cancer during the past 22 years with the support of the cosmetics industry.” Sarahjane Robertson Executive Director, LGFB UK

“Hello lovely people at Look Good Feel Better. The LGFB team would like to thank everyone who helped A few weeks ago I received a diagnosis of breast make 2016 such a huge success. cancer. Shortly afterwards I learnt that I could With the tremendous support from member companies, attend a Look Good Feel Better session at Maggie’s corporate partners and individuals, fundraising hit record in Newcastle upon Tyne. I learned how to properly levels which will help LGFB reach out to thousands more apply make-up and received a wonderful bag of gifts beneficiaries in 2017. Sadly the demand for the service is and cosmetics. As a result of this, I decided to go to increasing and LGFB has set ambitious targets to expand my first chemo session looking (and feeling) fantastic. patient reach. Every time I find a new and unpleasant side-effect of my cancer and my treatment, my response is to For more information visit www.lgfb.co.uk or email resolve to look my best. The confidence that I have [email protected] to see how you or your company could help LGFB today! gained by adopting this response is having a powerful effect on me and my family. Thank you.” @lgfbuk LookGoodFeelBetterUK

Helen Look Good Feel Better Patient Beneficiary

Key Fundraising Events for 2017 Look Good Feel Better Supports 17,500 Women in 2016 5-11 June 2016 was an extremely busy year for the Look Good Feel Feel Better Week –the biggest event in the LGFB Better Programme with the launch of seven new hospital calendar! Join member companies and supporters locations, bringing the total to 88. 17,500 women were as they use this week to create a huge amount of supported through hospital Workshops and 300 Masterclasses awareness and raise lots of money! held all over the country with the help of over 2,500 invaluable volunteers and 250,000 donated products. 3 September The LGFB self-help Confidence Kit and online tutorials helped S.W.A.L.K (sponsored walk) – take a stroll through many thousands more. the Surrey Hills on the 5k and 10k walk, open to people of all ages – dogs welcome too!

“Hi, I attended one your workshops in Prestatyn October North Wales a few days ago and thought I would Girls’ Night In – a great excuse to get the girls drop you a line to let you know what a great night it together for a night of pampering, movies or cocktails. was. I’m not generally a make-up wearer but as part of my treatment I’m now taking long-term medication 1-5 November Bake-Up 4 Make-Up – with a bonfire and fireworks and I have noticed how much my skin has changed, theme this year, create some delicious home-made and not for the better. All the girls were really helpful goodies to sell at work, school or to friends. giving me lots of tips and wow what a fantastic surprise when we were given a bag of first class There are also a number of challenge events happening cosmetics. Even though we were there for the same in 2017 which you can join individually or make up a reason there was lot of laughter and a real relaxed team with friends and colleagues. atmosphere it felt like a ‘sisterhood of positivity’ thanks again.” Contact [email protected] to participate in upcoming events in 2017 or to find ways to raise Ceri awareness of the service in your company or local area. Look Good Feel Better Patient Beneficiary

27 9

Cosmetic Industry in Figures

“Whilst the stark statistics show 2016 as a rather 2016 - £9,379,264 unspectacular year for the cosmetics industry, 2015 - £9,373,156 we started to see the uncertain economic future and consequently shopping behaviour starting to 0.1% change and maybe point to future trends. Increase In Great Britain, the value of the market rose year on year 0.1% to £9.38 billion whilst the actual number of packs purchased dropped 1.2% to 2.6 billion.

“This broadly indicated that shoppers, whilst seeking out bargains, didn’t use this as an excuse to buy more volume, rather they used their money more wisely and shopped around – including moving between a wider range of shops and the internet. Particularly within toiletries, we saw deflation as the grocers took on the discounters (and clawed back some business but at a price). By the end of 2016 we were just starting to see inflation creep in, mainly driven by increased costs due to the fall in the value of the pound.”

Tim Nancholas Strategic Insight Director – Home, Health & Beauty, Kantar Worldpanel, April 2017

CTPA GB Market Report 2016

£000s Dec-15 £000s Dec-16 % Change “The report covers a wide range of products Fragrance * 1,788,760 1,807,506 1.0 and each one tells a slightly different story. Fine Female Fragrance 973,338 999,725 2.7 “Fragrance, for example, whilst seeing a Fine Male Fragrance 538,491 543,823 1.0 decline in the number of buyers, also saw Mass Female Fragrance 133,812 130,482 -2.5 a value growth of 1% as shoppers Mass Male Fragrance 106,681 91,428 -14.3 purchased more expensive perfumes (we saw volume decline 3.1% year on year). Fine Unisex Fragrance 32,749 38,894 18.8 Reviving fragrance as a Christmas gift would Mass Unisex Fragrance 3,689 3,154 -14.5 further help this market. * includes gift packs/coffrets

“Colour cosmetics, sometimes seen as an Colour Cosmetics * 1,580,373 1,643,041 4.0 indicator of consumer confidence (which Face 642,494 669,771 4.2 is seeing signs of falling) was the best Lips 265,430 258,876 -2.5 performing category delivering over £1.64 Eyes 465,037 490,377 5.4 billion to the British economy, as only the lips sector saw decline whilst the nail Nails 207,412 224,017 8.0 products (generally a cheaper treat) saw the * includes gift packs/coffrets best growth. Skincare 2,177,889 2,160,320 -0.8

Prestige Skincare Total inc Gift Packs 587,421 556,635 -5.2 “Skincare saw a 0.8% value decline but this was an improvement from the previous year Face Care Non-medicated 889,262 901,943 1.4 on year trend. Lip products (with new Face Care Medicated 91,684 90,381 -1.4 products being launched) and the men’s Face Care Male 72,992 74,968 2.7 market picking up were bright spots but body (general purpose) skincare struggled Hand Care 53,271 52,546 -1.4 in the face of price deflation. Baby skincare Body Creams & 177,791 171,139 -3.7 also struggled. Baby Care Products 16,698 15,513 -7.1

Lipsalves 51,200 56,285 9.9

Sun Preparations 237,570 240,910 1.4

28 CTPA Annual Report 2016

£000s Dec-15 £000s Dec-16 % Change

Haircare 1,620,695 1,601,386 -1.2

Shampoo 446,814 442,304 -1.0

Hair Colorants Inc Lightening 298,093 296,083 -0.7

Conditioners 283,150 278,394 -1.7

Hair Sprays & Setting Sprays 119,487 113,306 -5.2

Hair Creams/Waxes and Gels 51,602 50,486 -2.2

Settings Lotions and Mousses 15,845 15,250 -3.8

Home Perms 1,090 949 -12.9

Salons (Industry estimate) 404,614 404,614 0.0 “The more ‘mass’ market sectors like haircare and deodorants continue to be Toiletries 2,205,439 2,167,011 -1.7 victims of the price war, i.e. grocers have Toothpaste 476,558 490,016 2.8 started to match discounter pricing and Depilatories 47,239 45,268 -4.2 withdraw multi-buy promotions for example, Foot Preparations 136,674 137,120 0.3 so the shoppers pay lower prices but are not encouraged to buy more volume. Deodorants 588,746 574,469 -2.4 saw a 0.8% volume decline and a Soaps 74,906 71,002 -5.2 1% value fall to use as an example. Mouthwashes 188,202 190,261 1.1

“Shower/bodywash was hit hardest as the Talcum Powder 16,270 15,924 -2.1 market lost nearly 7% of its value and Bath Additives 76,994 73,312 -4.8 volume as we made products last longer and Shower and Body Wash 342,581 320,048 -6.6 didn’t stock up on multi-buys as in the past. Liquid Soap 172,896 169,665 -1.9

“Toothpaste showed how mature markets Toilet Soap 84,373 79,926 -5.3 can grow by offering consumers premium solutions to problems such as teeth whitening and sensitive teeth.

“Whilst in 2016 the discounters and bargain stores gained In the past, some beauty markets such as colour cosmetics, share, grocery fought back with pricing as its chief weapon. have been quite resilient to the economic woes of the The High Street probably did better than expected as shoppers nation but we are seeing signs that consumers in general still want a large range of cosmetic products and are prepared are keener to spend their money on ‘experiences’ rather than to look for the item that best fits their needs and budget. possessions .e.g. a short break holiday rather than a new coat. Internet purchasing reached an all-time high but growth Therefore, the cosmetics industry needs to continue to was a little less than previous years. Black Friday, for example, innovate to offer products that are not just a commodity but saw internet sales in beauty fall compared to 2015 as offer an ‘experience’ to the user. shoppers become less impressed with ‘special offers’ and sense they can find them throughout the year.

“2017 will see a difficult time for the cosmetics industry as there will be two main pressure points to overcome – inflation, particularly in the mass market toiletry area, whilst welcome for some manufacturers this will leave the dilemma of passing on increased costs to shoppers, reducing margins for retailers or reducing their own margins – I suspect a combination of all three will actually occur.

“Brexit and consumer confidence is the other issue – we have “2017 could be roller coaster of a year so hold on tight and seen households spending more income on utility bills and you might come out of it with an experience to remember!” housing, this leaves less to spend on ‘non- essential’ items.

29 9 Cosmetic Industry in Figures

Sector Share (%) of Category Dec ’16 vs Dec ’15 by Value (rsp) Methodology & Data Sources

IRI market tracking data: Census EPoS data from Asda, Boots, Iceland, 23.1% (23.5%) Toiletries Morrisons, Sainsburys, Superdrug, Tesco, Waitrose, Wilkinson, The Cooperative Group. Sector Share (%) 17.1% (17.3%) Haircare Dec ‘16 23.0% (23.2%) Skincare Sample EPoS data from Symbol Grocers, £9,379,264 17.5% (16.9%) Colour Cosmetics other Coops, independents and chemists. 19.3% (19.1%) Fragrances Other data representation (audit and estimation methodology) from convenience stores, petrol forecourts, chemists and other impulse outlets. Sector Share (%) of Category Dec ’16 vs Dec ’15 by Units Kantar Worldpanel Purchasing data (Worldpanel) (53.2) 52.7 Individual purchasing data from a panel of 30,000 households which for this report will cover other GB outlets not mentioned in IRI tracking plus Aldi, Costco, Holland & Barrett, Lidl, Marks & Spencer, Savers, Bodyshop, bargain stores (such as Poundland, B&M (16.9) 17.1 (17.5) 17.5 Bargains, Home Bargains, 99p Stores) and (9.3) 9.7 other smaller outlets. (3.1) 3.0 Kantar Beauty Panel A panel of 15,000 individuals who record their Fragrances Colour Skincare Haircare Toiletries purchasing of fragrances, colour cosmetics Cosmetics and skincare products across all relevant Sector Share (%) Dec ‘16 2,601,404 Units outlets (including department stores, Boots, Bodyshop, Internet, mail order and direct sales) via online data entry. Sector Year on Year % change by Value Report Definitions Measures: Value Sales = £ sold (in 000s) 1.0 Fragrances % Chg = % change versus same time a year ago

4.0 Colour Cosmetics Further Details -0.8 Skincare IRI www.iriworldwide.co.uk -1.2 Haircare Kantar Worldpanel www.kantarworldpanel.com -1.7 Toiletries

Sector Year on Year % change by Units

-3.1 Fragrances

2.7 Colour Cosmetics

0 Skincare

-1.4 Haircare

-2.1 Toiletries

30 CTPA Annual Report 2016

UK Trade in Global Markets* Balance of Trade - EU Vs Non EU

The UK is a vibrant and innovative cosmetics EU Non EU producer growing the value of both export 300 and import markets in 2016 by 13% and 13.1% respectively over 2015. However, this left the UK as a net importer for both EU and 250 non-EU markets.

By worldwide region, the EU is the UK’s largest 200 trading partner in cosmetic products with 66.2% of the worldwide market in exports and 67.1% of imports. However, the US is the most important 150 non-EU partner market being the second largest import market and the third largest export market for UK cosmetic products. Within the EU, 100 consistent top export markets for British goods remain the Irish Republic (first) and Germany (second) with France and Germany the first and 50 third importers into the UK.

£ Balance UK Trade (Millions) £ Balance UK Trade 0 * All data sourced from www.uktradeinfo.com - SITC codes 553 (exc air freshners/candles) and 554 (toilet soap and liquid soap only) -50

-100

-150

2012 2013 2014 2015 2016

2016 UK Imports and Exports Worldwide

Imports £3699.5m Key: Value year on year Exports £3539.6m Imports up & down % share worldwide market Exports up & down European Union 28 2482.4 / 67.1% | 2342.2 / 66.2%

Western Europe (exc EU 28) Eastern Europe (exc EU 28) 133.3 / 3.6% | 140.2 / 4.0% 2.7 / 0.1% | 34.5 / 1.0%

North America 587.3 / 15.9% | 399.6 / 11.3% Middle East & North Africa 32.1 / 0.9% | 206.2 / 5.8%

Asia & Oceania Other America 437.9 / 11.8% | 333.8 / 9.4% 3.7 / 0.1% | 33.6 / 0.9% Sub-Saharan Africa 20.2/ 0.5% | 49.6 /1.4%

31 Cosmetic Industry in Figures

UK’s Largest Worldwide Export Markets 2016 2015 Figures in £m

599.3

455.0

339.5 309.7

529.0 205.8 202.9

419.6 103.5 103.3 102.9 79.8 262.4 267.7

161.3 167.1 91.8 88.1 81.0 64.2

Irish Republic Germany USA Belgium Netherlands France Spain UAE Poland Italy

UK’s Largest Worldwide Import Markets 2016 2015 Figures in £m

744.6

539.2 520.2

712.6 256.7 255.0 235.7

494.8 483.7 178.3 169.7 151.3 112.6

210.6 185.7 203.0 127.2 125.0 126.3 105.8

France USA Germany Poland China Italy Netherlands Spain Belgium Irish Republic

32 CTPA Annual Report 2016

Import Comparison of Non-EU 2016-2012 Export Comparison of Non-EU 2016-2012

£ Value UK Trade (m) £ Value UK Trade (m)

700 400 North America

North America 600 Asia/Oceanic 300 500 Asia/Oceanic

400 Middle East 200 & N Africa 300 Western Europe (exc EU 28) 200 Western Europe (exc EU 28) 100 Sub-Saharan Africa 100 Other Non-EU Markets Eastern Europe Other Amercia 0 0 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016

EU 28 Vs. Non-EU Import 2016-2012 EU 28 Vs. Non-EU Export 2016-2012

£ Value UK Trade (m) EU 28 Non-EU £ Value UK Trade (m) EU 28 Non-EU 2,500 2,500

2,000 2,000

1,500 1,500

1,000 1,000

500 500

0 0 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016

2016 World Import and Export Data by Category

Category share Import Export m m Perfumes 756.3 609.8 Beauty (skincare/decorative) 1657.6 1406.1 Haircare 492.7 384.4 Oralcare 195.7 253.4 Import Men’s shaving 33.6 108.4 Export Deodorants & Antiperspirants 142.8 307.9 Bath preparations 85.1 56.4 Depilatories & other toiletries 61.0 93.5 Toilet soap 110.4 173.0 Liquid soap 164.3 146.6 Total £3699.5 £3539.6

33 10

CTPA Members

Full Members Estée Lauder Companies LF Beauty (UK) E M • Aromaderme UK (Darphin) Linco Care M Acheson & Acheson M • Longshawe Packaging B N Albion Cosmetics (UK) • Laboratories L’Oréal (UK) Alliance Pharmaceuticals • Estée Lauder Cosmetics Luster Products M Allingham Beck Associates E F O • Jo Malone LVMH Perfumes & Cosmetics UK P R • Make-up Art Cosmetics and Ireland Amelia Knight M • Acqua di Parma Amphora Aromatics Q R FDD International Q • Anglo Indian Trading M Federici Brands R • Fresh Cosmetics Arco England • Aromatherapy Associates GAMA Healthcare • LVMH Fragrance Brands UK Avlon Europe Q GlaxoSmithKline Consumer Healthcare • Avon Cosmetics Godrej Consumer Products (UK) Q • Parfums Christian Dior (UK) • Inecto Cosmetics (UK) Bayer Q GoJo Industries-Europe Q Mavala (UK) Beiersdorf UK Grafton International Q McBride M Blink Brow Bar Medichem Manufacturing M O Q R Bulldog Skincare for Men H Bronnley & Company Meller Design Solutions M H&I Toiletries Mentholatum M Q CBEE (Europe) Hampshire Cosmetics (SoLab Group) Mercona (GB) Chanel E M Mibelle Group B C D E F Charlotte Tilbury Beauty HBD Europe Q M R Church & Dwight Q HCT Europe M Q R • Quantum Beauty Company R Colgate-Palmolive (UK) Henkel Beauty Care Montagne Jeunesse C D G K L Combe International Herb UK N O R Cosmarida 2010 C E G H M Herbalife (UK) Morgan’s Pomade Company E H I Cosmetics Laboratory Herrco Cosmetics A B C E F M O B C D E F M P R M O R Coty UK HMC M O Nails Inc Crabtree & Evelyn (Overseas) Hoyu Co M Natural Products Factory Neal’s Yard (Natural Remedies) DCS Manufacturing M O Q Iam By Nature Nice-Pak International M DDD Inline Health and Beauty M • Dendron Irish Response Limited t/a Lifes2Good Orean Personal Care M • Fleet Laboratories A B C D E A Q Oriflame M O R Original Additions (Beauty Products) • Trinity Scientific John Gosnell & Co E M O R M P Q Deb Group Johnson & Johnson Denman International Q Pacific World Q Kanebo Cosmetics Pangaea Laboratories ET Browne (UK) Q Kao (UK) Pascalle E M N O Edgewell Group • John Frieda Percy & Reed Products Elizabeth Arden New York (UK) • KPSS (UK) Pfizer Episciences Europe Q • Philip Kingsley Products Espa International (UK) Kew Health & Beauty E M Pierre Fabre Esschem Europe M Kimberly-Clark Europe Power Health Products E F G H K KMI Brands Q R L M O P Q R Laleham Health and Beauty M

34 CTPA Annual Report 2016

Procter & Gamble UK Associate Members Princeton Consumer Research B Professional Beauty Systems M Priston Safety Assessments B F PZ Cussons (UK) M A & E Connock PZ Cussons Beauty (Perfumery & Cosmetics) H I K L R&M Consultancy F • St Tropez Akzo Nobel Surface Chemistry G H Revolymer H L Alba Science B F RB UK Commercial Ashland G H Schülke UK D G H Retra Holdings Aston Chemicals E G H J K L Q SGS (UK) B C E F • Badgequo M Q Ayton Global Research B SK-CRS B R International Corporation Azeli G H I J K L Skinnovation B E Smurfit Kappa UK N S C Johnson UK Q BYK Additives G H Stephenson Group (The) H K R Salon Success Q R Sun Chemicals J K L Sanofi CMA (UK) F R Surfachem E G H I J K L Q Companies Cornelius Group E G H I J K • Bare Escentuals L Q Thor Specialities UK A B C D H • Gurwich CPL Aromas I • Shiseido UK Croda G H I Univar D E G H I J K L Q • Shiseido Americas Corporation Cutest Systems B SLG M Vivimed Labs Europe J Smink M dR Cosmetic Regulations R Solent International E M Retail Associates Space Brands EF Chemical Consulting R • Eve Lom Eurofins Product Testing Services Arcadia Group • Queen A B C D F Burberry Surefil Beauty Products M Marks & Spencer Swallowfield M Firmenich UK I Next Retail • Mr Haircare Fragrance Oils (International) I L Sainsbury’s Supermarkets • The Brand Architekts Sally Salon Services Geneius Laboratories A B D The Body Shop International Tricogen M Givaudan UK I Waitrose/JLP Grolman G H I J K L Q Unilever UK (& Ireland) Compliance Associates IMCD E G H J K L Vivalis Beauty Q Infotox E P R Advanced Development & Safety Innospec G H Laboratories Ltd (ADSL) A B C D Walgreens Boots Alliance Innovant Research F R E F P • BCM M Intertek A B C D F R Connect Compliance A B C D F • Boots Company (The) P

• Boots UK KCC Basildon B E G H Delphic HSE Solutions A B C D F • Liz Earle Beauty Co P R • Sleek Makeup Lansdowne Chemicals G H I K L Exponent International B F P R • Soap & Glory Lonza Group G H K L International Cosmetics & Chemical Services F P R (London) Ofset t/a Offset Group N Microbiological Solutions A B C D F P Personal Care Regulatory C D P TSGE Consulting P

Contract Laboratory Services Raw Materials Other Services

A Anaytical G General Ingredients M Contract Manufacturer/Supplier

B Claims Testing/Support H Speciality Ingredients N Packaging Supplier

C Stability Testing I Fragrance Ingredients/Mixtures O Contract – Small Runs

D Microbiological Services J Colours P Responsible Person Services (EU Cosmetic Regulation 1223/2009)

E Formulation Creation K Certified Organic Ingredients Q Distributor

F Safety Assessment L Natural (Not Organic) Ingredients R Other Services 35 11

CTPA Committees Working Groups and Advisory Groups

Commercial, International and Regulatory Regulatory & Packaging Committee Steve Paul (Chair) PZ Cussons (UK) Communications Committee Jim Thomas (Vice-chair) Deb Group Kathy Rogerson (Chair) Procter & Gamble UK Fiona Archibald Badgequo Caroline Almeida (Vice-chair) Johnson & Johnson Giuseppe Bazzani Kimberly-Clark Europe Anna Bartle Estée Lauder Companies Marina Bishop Walgreen Boots Alliance Beverley Buttle Estée Lauder Companies Raymond Boughton Delphic HSE Solutions Charlotte Carroll Unilever UK Laura Garcia Deacon Avon Cosmetics Natalie Deacon Avon Cosmetics Dr Marie Kennedy Elizabeth Arden Enza Di Stasi PZ Cussons Beauty Martin MacKenzie-Smith Hampshire Cosmetics Stephanie Ledger Revlon International Dr Gillian Marsh Procter & Gamble UK Kate Levine The Body Shop International Stephanie Mathieson-Blake RB UK Anna Lucuk Coty Dr Steve Shiel L’Oréal (UK) Kirsty McCready Walgreens Boots Alliance Agnieskza Trzesicka Estée Lauder Companies (Whitman Laboratories) Clare Pitts Colgate-Palmolive (UK) Carole Scott Henkel REACH Working Group Megan Wood L’Oréal (UK) Penny Schuler (Chair) The Body Shop International Simon Ambridge LF Beauty (UK) EU Exit Strategy Group Pauline Ayres Azelis UK Life Sciences Max Costantini (Board Mentor) Mibelle Group Ian Croft McBride Simon Ashwell Kimberly-Clark Europe Richard Keightley Acheson & Acheson Pauline Ayres Azelis UK Life Sciences Dr Marie Kennedy Elizabeth Arden Andrew Bonser Walgreen Boots Alliance Dr Amanda Long Avon Cosmetics Raymond Boughton Delphic HSE Solutions Karen Mann Walgreens Boots Alliance Laura Garcia Deacon Avon Cosmetics Chris Martin CMA (UK) Mark Fenn Microbiological Solutions Sonja Stewart Kimberly-Clark Europe Dr Marie Kennedy Elizabeth Arden Mark Tarantino-Hind Marks & Spencer Martin MacKenzie-Smith Hampshire Cosmetics Dr Gillian Marsh Procter & Gamble UK Scientific & Technical Stephanie Mathieson-Blake RB UK Steve Paul PZ Cussons (UK) Scientific Committee Gillian Peckham Johnson & Johnson Dr Marie Kennedy (Chair) Elizabeth Arden Penny Schuler The Body Shop International Dr Amanda Long (Vice-chair) Avon Cosmetics Mark Tarantino-Hind Marks & Spencer Anne Connet CPL Aromas Jim Thomas Deb Group Rhian Eckley Unilever UK Emma Trogen Cosmetics Europe Polly Falconer Kimberly-Clark Europe Agnieskza Trzesicka Estée Lauder Companies (Whitman Laboratories) Attila Gaal Henkel Garry Ho GlaxoSmithKline International Committee Dr John Hopkins Innovant Research Sue Wemyss (Chair) Estée Lauder Companies (Whitman Laboratories) Dr Mark Laing PZ Cussons (UK) Guiseppe Bazzani (Vice-Chair) Kimberly-Clark Europe Dr Gillian Marsh Procter & Gamble UK Marina Bishop Walgreens Boots Alliance Robin Parker Acheson & Acheson Zena Hasan Molton Brown Dr Artur Puig Revlon International Dr Marie Kennedy Elizabeth Arden Dr Steve Shiel L’Oréal (UK) Antonia Kenning Crabtree & Evelyn Katy Slater RB UK Dr Amanda Long Avon Cosmetics Cinzia Vela Walgreens Boots Alliance Chris Martin CMA (UK) Sue Wemyss Estée Lauder Companies (Whitman Laboratories) Becky Milner RB UK Paul Yates McBride Garrett Moran Oriflame Maria Naughton Vivalis Beauty Cosmetovigilance Working Group Hervé Olivier Espa International Sue Wemyss (Chair) Estée Lauder Companies (Whitman Laboratories) Jane Pett The Body Shop International Dora Amene RB UK Debra Redbourn Godrej Consumer Products Dr Daisy Bennett L’Oréal (UK) Nia Roberts Nice-Pak International Dr Chris Brennan Intertek Group Dr David Swain Burberry Sandra Browne Edgwell Group Mark Tarantino-Hind Marks & Spencer Jack Burgess Delphic HSE Solutions Jim Thomas Deb Group Beverly Buttle Estée Lauder Companies (Whitman Laboratories) Janet Winter International Cosmetics & Regulatory Services Mick Cooper PZ Cussons (UK) Simon Young Unilever UK Rhian Eckley Unilever UK

36 CTPA Annual Report 2016

Katie Farrar RB UK Plastics & Polymers Working Group Attila Gaal Henkel Dr Filipe Almeida Cosmetics Europe (CE) Rani Ghosh Kimberly-Clark Europe Simon Ambridge LF Beauty (UK) Richard Keightley Acheson & Acheson Pauline Ayres Azelis UK Life Sciences Tracey Kerr Avon Cosmetics Andrea Carrao Kao Corporation Stephen Kirk SK-CRS Corey Cunningham Kimberly-Clark Europe Reuben Mascaranhas Walgreens Boots Alliance Dr Iain Davies Personal Care Products Council (PCPC) Maria Naughton Vivalis Beauty Dr Raniero De Stasio Estée Lauder Companies Una O’Sullivan Procter & Gamble UK Nicola Donnelly Johnson & Johnson Anna Ochot-Bednarek McBride Sandra Fernandez Revlon International Dr Robert Priston Priston Safety Assessments Simon Hodgson Croda International Angus Swinscoe Walgreens Boots Alliance Khusbu Jain Avon Cosmetics Laura Turnham SGS UK Andrew Jenkins Walgreens Boots Alliance Dr Beth Jonas Personal Care Products Council (PCPC) GMP Working Group Richard Keightley Acheson & Acheson Mark Crawley (Chair) Laleham Health & Beauty Thea Koning Unilever UK Elizabeth Aspinall Estée Lauder Companies (Whitman Laboratories) Dr Gillian Marsh Procter & Gamble UK Emma Braithwaite Swallowfield plc Beta Montemayor CCTFA Clare Clark Schulke & Mayr UK David Rees CPL Aromas Angela Davies Microbiological Solutions Mark Tarantino-Hind Marks & Spencer Allan Eastham Cosmarida 2010 Jane Gordon Unilever UK Raw Material Supplier Working Group Lisa Powell Deb Group Pauline Ayres (Chair) Azelis UK Life Sciences Dr Philip Wright DCS Group Tracey Clark KCC Basildon Dr Garry Dix CPL Aromas Hair Preparations Advisory Group Dr Nick Dixon Innospec Kathy Rogerson (Chair) Procter & Gamble UK Dr Michael Ellwood Lonza Group Shakila Bik L’Oréal (UK) Patrick Jenness BYK Additives Ruth Fenwick Walgreens Boots Alliance Clare Liptrot Croda International Attila Gaal Henkel Barry Mooney A&E Connock (Perfumery & Cosmetics) Sarah Histed Combe International Louise Olivier Ashland Specialty Ingredients Chris Martin CMA (UK) Jim Smith Aston Chemicals Debra Redbourn Salon Success James So Kingfisher Colours Sue Wemyss Estée Lauder Companies (Whitman Laboratories) Natasa Tatovic Cornelius Jennie Teague Vivimed Laboratories Hair Salon Advisory Group Pauline Cairns Estée Lauder Companies Sun Products Working Group Michelle Cole Henkel Dr Amanda Long (Chair) Avon Cosmetics Shayne Meadows Henkel Sandra Browne Edgwell Group Debra Redbourn Salon Success Dr Raniero De Stasio Estée Lauder Companies Kathy Rogerson Procter & Gamble UK Dr Jack Ferguson Skinnovation Dr Steve Shiel L’Oréal (UK) Dr Gillian Marsh Procter & Gamble UK Sue Wemyss Estée Lauder Companies (Whitman Laboratories) Martyna Myka Beiersdorf UK Hilary Hall National Hairdressers’ Federation (NHF) Clare O’Connor Walgreen Boots Alliance Mike Patey Hairdressing & Beauty Suppliers Association (HBSA) Debra Redbourn Godrej Consumer Products Marie Reynolds Alba Science Microbiological Working Group Kathy Rogerson Procter & Gamble UK Jenny Trueman (Chair) LF Beauty (UK) Mike Salmon LF Beauty (UK) Ryan Chaplin McBride Dr Steve Shiel L’Oréal (UK) Angela Davies Microbiological Solutions Sarah Johns Estée Lauder Companies (Whitman Laboratories) Toxicology Advisory Group Sharon Locke PZ Cussons (UK) Raymond Boughton Delphic HSE Solutions Dr Pratixa Patel GlaxoSmithKline Rhian Eckley Unilever UK Lisa Powell Deb Group Rani Ghosh Kimberly-Clark Europe Lawrence Staniforth Walgreens Boots Alliance Dr John Hopkins Innovant Research Beata Wells-Burr Swallowfield Stephen Kirk SK-CRS Helen Wheeler Church & Dwight Reuben Mascaranhas Walgreens Boots Alliance Anna Ochot-Bednarek McBride Dr Robert Priston Priston Safety Assessments Mary Spurgeon Unilever UK

The above lists reflect the current membership of CTPA Committees, Working Groups and Advisory Groups. In addition to the above groups, ad-hoc advisory and working groups are set up as necessary. These currently include: CTPA-BSCA (British Society for Cutaneous Allergy) Working Group Customer Care Advisory Group International Nanomaterial Working Group The CTPA Secretariat also maintains ‘contact lists’ of Members with special interests. 37 12

CTPA and Members’ Representatives to Cosmetics Europe

Board of Directors (BoD) Active Association Members (AAM) Dr Marie Kennedy Elizabeth Arden Dr Chris Flower CTPA Dr Amanda Long Avon Cosmetics Dr Chris Flower CTPA

Strategic Core Teams (SCT)

What are they? Groups created to focus on defined priority matters with work plans approved by the BoD. Expert Teams (ET), Task Forces (TF) and Interested Parties Groups (IPG) – created to provide specific technical expertise and reporting directly to corresponding SCT.

Expert Team linked to SCT Task Force linked to SCT Interested Party Group linked to SCT

SCT Regulatory Strategy SCT Ingredients

Dr Raniero De Stasio Estée Lauder Companies Pamela Bloor (Vice-chair) Unilever UK Home & Personal Care Dr Marie Kennedy Elizabeth Arden Dr Raniero De Stasio Estée Lauder Companies Dr Amanda Long Avon Cosmetics Dr Marie Kennedy Elizabeth Arden Graham Wilson Procter & Gamble Technical Centres Dr Amanda Long Avon Cosmetics Olivia Santoni CTPA Julie McManus GlaxoSmithKline Dr Emma Meredith CTPA ET Borderlines Dr Raniero De Stasio Estée Lauder Companies Graham Wilson Procter & Gamble Technical Centres ET Emerging Safety Issues Olivia Santoni CTPA Dr Raniero De Stasio Estée Lauder Companies Dr Sarah Tozer Procter & Gamble ET Cosmetic Products Regulation Application Caroline Rainsford CTPA Graham Wilson (Vice-chair) Procter & Gamble Technical Centres Maggie Collier GlaxoSmithKline Consumer Healthcare ET Endocrine Modulation Laura Garcia Deacon Avon Cosmetics Dr Emma Meredith (Chair) CTPA Erika Bonnegrace CTPA Caroline Almeida Johnson & Johnson Amanda Isom CTPA Matthew Dent Unilever UK Home & Personal Care Dr Raniero De Stasio Estée Lauder Companies ET Future of Mandatory Consumer Information Graham Wilson Procter & Gamble Technical Centres Khusbu Jain Avon Cosmetics Dr Marie Kennedy Elizabeth Arden ET Environmental Ingredient Issues Olivia Santoni CTPA Dr Raniero De Stasio (Chair) Estée Lauder Companies Khusbu Jain Avon Cosmetics ET Reach Caroline Rainsford CTPA Dr Marie Kennedy (Vice-chair) Elizabeth Arden Olivia Santoni CTPA ET Exposure Dr Sarah Tozer (Chair) Procter & Gamble ET Responsible Advertising and Claims Claire Davies Unilever UK Home & Personal Care Dr Chris Flower (Chair) CTPA Dr Nicola Gilmour Unilever UK Home & Personal Care James Barnes Unilever UK Home & Personal Care Caroline Rainsford CTPA Dr Amanda Long Avon Cosmetics Graham Wilson Procter & Gamble Technical Centres ET Hair Preparations Dr Emma Meredith CTPA TF CMRs Group Graham Wilson Procter & Gamble Technical Centres ET Ingredient Monitoring and Assessment Amanda Isom CTPA Pamela Bloor Unilever UK Home & Personal Care Laura Garcia Deacon Avon Cosmetics TF Cosmetovigilance Dr Marie Kennedy Elizabeth Arden Dr Nicola Gilmour Unilever UK Home & Personal Care Julie McManus GlaxoSmithKline Beverly Buttle Estée Lauder Companies Agnieszka Trzesicka Estée Lauder Companies (Whitman Laboratories) Tracey Kerr Avon Cosmetics Caroline Rainsford CTPA Una O’Sullivan Procter & Gamble Technical Centres Sue Wemyss Estée Lauder Companies (Whitman Laboratories) ET Nanotechnologies Dr Emma Meredith CTPA Stuart Hewlins (Chair) Procter & Gamble Technical Centres Dr Raniero De Stasio Estée Lauder Companies Laura Garcia Deacon Avon Cosmetics Amanda Isom CTPA

38 CTPA Annual Report 2016

ET Perfumes TF China Dr Chris Powell Unilever Dr Raniero De Stasio Estée Lauder Companies Caroline Rainsford CTPA Dr Marie Kennedy Elizabeth Arden Graham Wilson Procter & Gamble Technical Centres ET Product Preservation Erika Bonnegrace CTPA Pamela Bloor (Chair) Unilever UK Home & Personal Care Dr Raniero De Stasio Estée Lauder Companies TF India Dr Emma Meredith CTPA Olivia Santoni (Chair) CTPA Dr Marie Kennedy Elizabeth Arden TF D4/D5 Sue Wemyss Estée Lauder Companies (Whitman Laboratories) Pauline Ayres Azelis UK Life Sciences Graham Wilson Procter & Gamble Technical Centres Pamela Bloor Unilever UK Home & Personal Care Erika Bonnegrace CTPA Laura Garcia Deacon Avon Cosmetics Caroline Rainsford CTPA TF Russia Dr Raniero De Stasio Estée Lauder Companies TF International Nomenclature of Cosmetic Ingredients Sue Wemyss Estée Lauder Companies (Whitman Laboratories) Maggie Collier GlaxoSmithKline Graham Wilson Procter & Gamble Technical Centres Erika Bonnegrace CTPA TF Microplastics Olivia Santoni CTPA Dr Raniero De Stasio Estée Lauder Companies Khusbu Jain Avon Cosmetics IPG ASEAN Andrew Jenkins Walgreen Boots Alliance Marina Bishop Walgreens Boots Alliance Dr Amanda Long Avon Cosmetics Dr Marie Kennedy Elizabeth Arden Dr Emma Meredith CTPA Sue Wemyss Estée Lauder Companies (Whitman Laboratories) Caroline Rainsford CTPA Simon Young Unilever Erika Bonnegrace CTPA SCT Alternatives to Animal Testing Olivia Santoni CTPA

Dr Raniero De Stasio Estée Lauder Companies IPG MENA Melinda Friend Colgate-Palmolive (UK) Dr Raniero De Stasio Estée Lauder Companies Dr Marie Kennedy Elizabeth Arden Dr Marie Kennedy Elizabeth Arden Graham Wilson Procter & Gamble Technical Centres Dr Amanda Long Avon Cosmetics Simon Young Unilever Sue Wemyss Estée Lauder Companies (Whitman Laboratories) Dr Chris Flower CTPA Graham Wilson Procter & Gamble Technical Centres Simon Young Unilever SCT International Convergence Erika Bonnegrace CTPA

Simon Young (Vice-chair) Unilever SCT Sustainable Development Melinda Friend Colgate-Palmolive (UK) Dr Marie Kennedy Elizabeth Arden) Darshit Patel Unilever Dr Amanda Long Avon Cosmetics Olivia Santoni CTPA Sue Wemyss Estée Lauder Companies (Whitman Laboratories) Graham Wilson Procter & Gamble Technical Centres TF Access & Benefit Sharing/ABS Joint Group Simon Young Unilever Khusbu Jain Avon Cosmetics Olivia Santoni CTPA Dr Amanda Long Avon Cosmetics

ET Microbiological Protection of Products SCT Trust & Reputation Dr Lorraine Caskie Unilever UK Home & Personal Care Dr Chris Flower (Vice-chair) CTPA ET Natural/Organic Products Caroline Almeida Johnson & Johnson Graham Wilson (Vice-chair) Procter & Gamble Technical Centres Debbie Hunter CTPA Marina Bishop Walgreens Boots Alliance Laura Garcia Deacon Avon Cosmetics Khusbu Jain Avon Cosmetics Expert Networks (EN) Sue Wemyss Estée Lauder Companies (Whitman Laboratories) What are they? Expert networks advising the Board and ET Regulatory Aspects of Sun Protection providing support to Strategic Core Teams Dr Raniero De Stasio Estée Lauder Companies Dr Amanda Long Avon Cosmetics EN Communications Dr Paul Matts Procter & Gamble Technical Centres Caroline Almeida Johnson & Johnson Graham Wilson Procter & Gamble Technical Centres Debbie Hunter CTPA Dr Emma Meredith CTPA EN Legal ET Traces James Barnes Unilever UK Home & Personal Care Dr Raniero De Stasio Estée Lauder Companies Laura Garcia Deacon Avon Cosmetics EN Sciences Stuart Hewlins Procter & Gamble Technical Centres Dr Raniero De Stasio Estée Lauder Companies Khusbu Jain Avon Cosmetics Paul Hepburn Unilever Dr Amanda Long Avon Cosmetics ET Triage Dr Emma Meredith CTPA Dr Raniero De Stasio Estée Lauder Companies Simon Young Unilever Olivia Santoni CTPA

39 13

CTPA - Our Role, Member Advice & Public Voice

Role of CTPA

The Cosmetic, Toiletry & Perfumery Association (CTPA) CTPA has taken a leading role to assess the impact of is widely regarded by Government, European and ‘Brexit’ following the UK Referendum on EU membership. international stakeholders and the media alike as the Working with its members and other stakeholders, the CTPA credible voice of a responsible UK industry. Members include has reviewed the implications for the cosmetics industry and brand owners, manufacturers, distributors, ingredient the position paper issued in January 2017 sets out ‘3 key asks’ suppliers, service providers and retailers and all sizes of of UK Government. companies are in membership. The position paper has been shared with the Department Representing the industry, CTPA has day-to-day contact with for Business, Energy and Industrial Strategy (BEIS), all the key UK Government departments that control the the Department for Exiting the EU (DExEU) and the safety and supply of cosmetic products in the UK together Department for International Trade (DIT). CTPA is also with Trading Standards in relation to enforcement practice. working with the CBI and our European colleagues in This provides members with the most up-to-date national associations to ensure consistent messaging of interpretation and guidance. For non-members we have the key priorities for the cosmetics industry. CTPA members public guidance on our website, www.ctpa.org.uk. are being kept fully informed during the negotiations with an issue tracker, reference zone and webinars. Non-members can follow the CTPA’s work via the public website, www.ctpa.org.uk/brexit. Working with Members

Confidential individual help and advice Representation Public voice

- Interpretation of the EU Cosmetics Regulation - Committee network on key issues - Active engagement with the media on the - Early warning of legislative change through - Government and stakeholder liaison science behind cosmetic products contacts worldwide - Co-ordination of industry one-voice positions - Dedicated public consumer site - One-to-one confidential advice for key stakeholders www.thefactsabout.co.uk

Worldwide Regulatory Advice Information for Consumers and the Media

With the CTPA’s active participation at Cosmetics Europe, The CTPA has a dedicated the European personal care association, and our wide consumer site, network of global association contacts, we are able to provide www.thefactsabout.co.uk, up-to-date information on key regulatory changes worldwide to help explain the science and specific advice on what companies need to do to be behind cosmetic and personal able to legally export their products to those countries. care products to dispel Online guidance and labelling manuals provide 24/7 advice myths and put scares into on regulations. perspective. Information about ingredients and terminology, advice for “Experienced, knowledgeable and highly parents, understanding professional. The CTPA team is one of my allergy, the importance strongest supports in my field of technical of avoiding ‘black henna temporary tattoos’ and and regulatory work.” how to use sunscreens Head of Technical & Regulatory Compliance, CTPA member company. effectively all form part of the site.

Find out what CTPA membership could do for your company. Visit the CTPA’s website www.ctpa.org.uk and download the membership enquiry form.

40 CTPA Annual Report 2016

CTPA Team

2 3 4 5 1 Dr Chris Flower Director-General

Responsible for: strategic direction; public voice of the Association; external stakeholder engagement; 1 international relations 6 7 8 9

Commercial and Communications 10 11 12 13

2 Debbie Hunter Director of Commercial Affairs Responsible for: strategic communications; Board management; membership relations and services

3 Julia Hewitt Commercial Affairs Co-ordinator & Database Manager Responsible for: membership services; CTPA Newsletter; CTPA events; database; office administration

4 Eleanor O’Connor Communications Co-ordinator Responsible for: PA to the D-G; media monitoring; communications Scientific and Technical

5 Dr Emma Meredith Director of Science Responsible for: strategic scientific & technical; hair products; sun products; safety assessment; cosmetovigilance; endocrine disruptors

6 Amanda Isom Technical Affairs Manager Responsible for: technical enquiries; CMRs; CPNP; Product Information File; GMP; nanotechnology; website controller

7 Caroline Rainsford Scientific Information Officer Responsible for: scientific enquiries; tracking ingredient issues; monitoring research; fragrance issues

8 Christine Lawson Regulatory and Technical Co-ordinator Responsible for: non-member enquiries; internal processes; co-ordination of committees, meetings & webinars

Regulatory and International

9 Olivia Santoni Director, Regulatory & International Services Responsible for: strategic regulatory affairs & international regulations; EU Exit negotiations; borderline & claims issues; chemicals; REACH & environmental issues

10 Erika Bonnegrace International Information Officer Responsible for: international enquiries; tracking regulatory issues; International Regulatory online manual

11 Dr Stefano Guidone Regulatory Information Officer Responsible for: EU/UK regulatory enquiries on CPR/REACH/CLP; labelling & packaging; updating regulatory database and website; UK/EU/EEA Regulatory online manual

Administration

12 Joyce Traylen Company Secretary Responsible for: company management; company finances; office systems; membership accounts

13 Jana Mona Finance Manager Responsible for: company accounts; office and event management; budget compliance; membership subscriptions

41 14

Financial Overview

Below is an extract from the financial Detailed Income & Expenditure 2016) 2015) statements for the year end 31 December 2016. £) £) A full set of the accounts can be obtained from Subscription income Companies House or from the Company Secretary Ordinary Members 1,811,424) 1,772,273) at the Registered Office, CTPA, Sackville House, Associate Members 54,175) 51,015) 40 Piccadilly, London, W1J 0DR. 1,865,599) 1,823,288) Other operating income A quick guide to income and expenditure: Surplus from seminars, publications, etc 14,413) 17,345) Total income 2016/2015

Interest receivable 2016 £1,880,624 Bank interest receivable 765) 5,785) Less provision for corporation tax (153) (1,157) 2015 £1,845,261 612) 4,628)

Total expenditure 2016/2015 )Total income 1,880,624) 1,845,261)

2016 £1,943,069* Administrative expenses Staff costs 829,262) 794,653) 2015 £1,763,406 Other personnel expenses & recruitment 21,941) 11,420) Rent 212,008) 99,979) Rates 63,162) 38,524) Service charges, dilapidations 70,727) 17,678) (Deficit)/Surplus for the years 2016/2015 Heat, light and utilities 13,035) 11,503) Telephone, communications, post 28,299) 24,748) 2016 (£62,445) CTPA websites, IT network, database 93,658) 113,622) Printing, journals, supplies 32,066) 34,440) 2015 0 £98,915 Office equipment leasing costs 4,282) 6,139) UK travel, functions, meetings and staff training 30,872) 54,119) Overseas travel and expenses 22,661) 32,598) 0 Chairman’s expenses 82) 0)

Communications 106,184) * CTPA moved office from Josaron House (occupied since 117,238) 1996) in April 2016 to newly designed and furbished offices Professional subscriptions 4,869) 3,734) on a 10 year lease in Sackville House. The year’s expenditure Professional services 25,016) 62,381) includes overlapping office costs to the end of June 2016 and Audit 12,952) 11,920) dilapidations. Operationally, the end of year result would have Cosmetics Europe shown a small surplus without these exceptional charges. - subscription 144,221) 162,761) Administrative expenses 2016 - SCAAT 19,335) 20,812) - General Assembly 3,843) 3,482) Office insurances and sundries 18,493) 14,791) Higher education grants 10,000) 10,000) F Educational resources 528) 8,336) Donations 100) 0) Depreciation, disposal, exchange rate variance 162,040) 116,819) Bank charges 2,138) 2,035) A E Bad debt write-off 240) 731)

Total expenditure 1,943,069) 1,763,406)

D (Deficit)/Surplus for the year (62,445) 81,855) C B Transition to FRS 102 (17,060) Surplus following restatement of accounts 98,915) A Staff and other costs [43.8%] B Communications [6%] C Cosmetics Europe [8.6%] Accumulated surplus at 1 January 707,672) 608,756) D Depreciation, exchange rate variance [8.4%] (Deficit)/Surplus for the year (62,445) 98,915) E Office premises and other services [19.4%] F Other expenditure [13.8%] Accumulated surplus at 31 December 645,227) 707,672)

42 Safety Science Trust

www.thefactsabout.co.uk @TheCTPA The Cosmetic Toiletry & Perfumery Association Limited Sackville House 40 Piccadilly London W1J 0DR

Tel: +44 (0)20 7491 8891 Fax: +44 (0)20 7493 8061 Web: www.ctpa.org.uk Email: [email protected]

Visit our consumer website at www.thefactsabout.co.uk

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