Currently in order for a commercial property to be let to a tenant the Property must hold a valid EPC rating of E or above but there’s a warning that over 130,000 commercial properties are ‘at risk’ due to 2027 EPC Regulations

With the 2027 deadline approaching for stricter Energy Performance Certificate (EPC) regulations, it’s claimed an estimated 130,000 commercial properties in the UK could become unlettable unless energy efficiency improvements are made. The new regulations will require all commercial properties to have an EPC rating of C or higher to be legally rented or sold. With a large proportion of the current commercial building stock rated D or below, the impending changes pose a serious risk to property owners who fail to meet the new standards .The requirement will be to increase to B by 2030.

Landlords who fail to comply with the 2027 regulations risk fines of up to £150,000 depending on the rateable value of the building .

However, the long-term impact could be far greater, with significant operational disruptions as properties require retrofitting, or in the worst case, become impossible to let. It’s not just about meeting compliance. Tenants are increasingly prioritising energy efficiency, and properties with higher EPC ratings are becoming more attractive to renters. Upgrading a building’s energy efficiency is not just about avoiding penalties – it’s a way to future-proof your asset and potentially increase its market value.

If a property is let which has a rating less than the governments minimum rating (currently E) the landlord will be required to undertake works to the Property in order to bring the rating up. Unless the property is exempt, it will need to have the minimum EPC rating in order for the landlord to continue to let the Property. Where the Property is already let, legal advice should be sought as to whether the Tenant or the Landlord is responsible for improving the Property but in either case the EPC rating will have to be improved to allow the letting to continue.

E2 Services offer our EPC+ Audit & Report Service. This audit is specifically designed to advise and recommend actions that the landlord or tenant will need to take in order to achieve the new target ratings. This will include fabric insulation, windows, lighting and energy reduction and cost saving initiatives. Our service an also include issuing preliminary and final EPC certificates.

By combining these core elements we provide powerful additional savings that go well beyond traditional energy management and delivers Total Energy Management which also forms the core of our Net Zero Toolbox which will provide you with the support and the projects you need to implement during your journey to becoming Net Zero.

TOTAL ENERGY MANAGEMENT – Maximum savings for the minimum investment, making Net Zero happen for your business

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