A Guide to Commercial EPCs

Key Issues and Updates to Commercial EPC Legislation

An update from SMC Brownill Vickers outlining the importance of EPCs and advice on the upcoming and proposed changes of legislation.

So, what are the changes to the legislation? From 1st April 2023, it is against the law to let a commercial property with an EPC rating of F or G. This applies to existing leases as well. 

Read on to find out more about the importance of EPCs alongside proposed changes to legislation in the upcoming years.

KEY DATES

1st April 2023—ALL EPCS MUST HAVE A MINIMUM RATING OF E INCLUDING EXISTING LEASES.

1st April 2027 —ALL EPCS MUST HAVE A MINUMUM RATING OF C (government intended target)

1st April 2030—ALL EPCS MUST HAVE A MINUMUM RATING OF B (government intended target)

Why are EPCs required?

An Energy Performance Certificate (EPC) rates how energy efficient your building is using grades from A to G (with ‘A’ the most efficient grade). It enables you to assess the energy efficiency of your property as well as potential energy costs.

REMINDER

From 1st April 2023 continuing to rent out a substandard commercial property will result in receiving a substantial fine.

When are EPCs required?

An Energy Performance Certificate is needed whenever a property is:

• Built
• Sold
• Rented

From the 1st April 2023 Commercial Landlords must have a valid EPC in place for all leased premises.

Next Steps For Landlords

• Check whether your properties have a valid EPC rating of band ‘E’ or better.
• Check whether you have the right to access under the terms of the lease to undertake improvement work that may be needed to meet the minimum rating.
• Establish whether any costs incurred in meeting the EPC rating can be recovered from the tenant.
• Confirm whether your property has an exemption from regulations.
• Plan ahead now—speak to our Building Surveying Team for further advice on 0114 290 3300.