MEES for UK commercial property: EPC E today, EPC B from 2031 for larger buildings
Commercial MEES is the non-domestic side of the Minimum Energy Efficiency Standard, under the same Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015 as homes. Today the minimum is band E for every commercial letting: new leases since 1 April 2018, and all leases, including existing ones, since 1 April 2023.
What changes, and when
In its interim response of 18 June 2026 to the 2019 and 2021 consultations, the government set the next step:
- From 2031, buildings over 1,000 m2 must reach band B, where the improvements are cost-effective (they pay back within 7 years). The exact date is not set yet.
- Buildings of 1,000 m2 or less stay at band E, with no date for a higher standard.
- The interim step of band C by 2027 has been dropped.
- The 7-year payback test and the existing exemptions carry on. A full response is expected later in 2026, and the change needs new regulations before it takes effect.
What counts as commercial
Any let property that needs a non-domestic EPC: offices, shops, restaurants and cafes, hotels, warehouses, light industrial and most mixed-use buildings on commercial leases. Out of scope are buildings that don't need an EPC at all (for example places of worship, temporary buildings used for under 2 years, and stand-alone buildings under 50 m2). Each unit of a mixed-use building has its own EPC and its own regime.
Exemptions
Exemptions must be registered on the PRS Exemptions Register with evidence:
- 7-year payback: a recommended improvement would not pay for itself in energy savings within 7 years.
- All relevant improvements made: every improvement that passes the payback test is done and the property is still below the minimum.
- Third-party consent refused: a tenant, superior landlord, lender or planning authority refused consent.
- Devaluation: an independent surveyor confirms the works would reduce the property's value by more than 5%.
- New landlord: 6 months for someone who has just become the landlord.
Most exemptions last 5 years.
Penalties
Local authorities enforce. Commercial penalties are based on the property's rateable value, up to £150,000 a property per breach, and the authority can publish the landlord's details. (For homes the maximum is £5,000 today, rising to £30,000 under the rules for 2030.)
What commercial letting agents should do
- EPC at instruction: check the EPC band, and don't market a property below E without a registered exemption.
- Show the rating: the EPC rules require the energy rating in commercial advertisements and an EPC for prospective tenants.
- Floor area: note whether each building is over 1,000 m2; those are the ones facing band B from 2031.
- Plan early for large buildings at C or below: improvements that pay back within 7 years will be required, so a costed plan now avoids a rush later.
How Certaby helps
Certaby's EPC and MEES check reads the domestic EPC register, so it covers homes. For commercial property, look up the EPC on the GOV.UK EPC register; the rules above apply.
Last updated 2026-10-02.