Commercial EPC ratings

Commercial EPC requirements have become more stringent in recent years, with regulations introduced in April 2023 mandating that most commercial properties must have an EPC rating of E or higher to be rented out.

These regulations apply to any privately rented, non-domestic commercial building that legally requires an EPC, which includes most commercial properties. Landlords need an EPC rating of E or above to continue renting their properties, and these requirements will become even stricter in the coming years. By 2028, an EPC rating of C or higher will be necessary, and by 2030, a rating of B or higher will be required.

There are several exceptions, such as cases where consent for necessary energy efficiency improvements cannot be obtained. There are also exemptions for certain types of buildings, including temporary structures or those slated for demolition.

Fortunately, landlords can take many steps to improve their building's EPC rating. EPC assessments focus on various aspects such as a building's construction, heating, lighting, and ventilation, many of which can be enhanced. Upgrading lighting to LEDs and using timers and sensors can improve efficiency. Modern heating and HVAC systems, as well as advanced hot water systems, can significantly reduce energy use. Insulation improvements often have the most substantial impact on energy efficiency. For larger buildings, investing in solar panels and building management systems to optimise HVAC efficiency can be beneficial.

At Merrifields, we often advise our clients on EPC strategy as part of wider Asset Management work. Contact us for more information.