The Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015 sets out minimum efficiency standards and this year they come into effect for non-domestic property.
There has been a lot of coverage of Minimum Energy Efficiency Standards (MEES), but what does it mean for the various stakeholders in a property? Below is a quick high level summary:
From 1st April 2018, a landlord cannot enter into a new tenancy agreement if the building has an EPC rating of F or G. This also applies to new lease agreements being entered into with existing tenants.
From 1st April 2023 this will be extended to apply to existing lease agreements.
This means if you are a landlord and your building performance is worse than E rating, then improvements must be made to the property.
There are exceptions and exemptions for buildings where improvements cannot be made and this requires substantiation and special registration.
Prospective tenants need to be aware of this requirements before taking on a new lease. Tenants on existing leases need to be aware that their landlord may need to embark on a series of building improvement works that may be both disruptive and costly.
Developers, designers and contractors need to be aware of these requirements. While all new build will far exceed this, any refurbishment of existing stock will need to take this into consideration. Designers in particular will need to ensure that the refurbished building meets this requirement, which could mean that fabric enhancements or major system upgrades will need to be considered.
We first highlighted this in July last year, blogs on our website gives more information.
If you would like more information on how MEES affects you and what can be done, then give us a call on 020 3752 9608, email me on email@example.com and also have a look at our website energy-lab.co.uk.