On 1st April 2018 the Minimum Energy Efficiency Standards (“MEES”) came into force, restricting landlords from granting tenancies of both commercial and residential property, where the Energy Performance Certificate (EPC) is below ‘E’.
This means that all privately-rented homes in England and Wales must now be rated at least an “E” on the official energy efficiency ratings, for new tenancies, therefore if an EPC is graded F-G, the property is not compliant with MEES. The rules come into force for existing tenancies in 2020.
Essentially, MEES was introduced as part of the government’s plan to lower greenhouse gas emissions (GHG), as GHG poses a large threat to the UK in meeting its carbon reduction targets for 2020 and 2050. While Building Regulations ensure that new properties meet current energy efficiency standards, MEES will tackle the UK’s older buildings.
Landlords can take practical steps to improve energy efficiently, include replacing traditional lightbulbs with LEDS, replacing old boilers and adding insulation to walls and windows. However, according to Government figures there could be up to 285,000 properties in need of urgent work and many landlords are still not aware of the changes, putting themselves at risk of incurring a number of penalties for non-compliance.
Penalties for non-compliance is 10 per cent of rateable value of the premises, subject to a minimum of £5,000 and maximum of £50,000. After three months this rises to 20 per cent of rateable value with a minimum of £10,000 and a maximum of £150,000.
If you require more information relating to MES including MEES exemptions or assistance with any legal commercial property matter, please contact Naveen Palram in the Commercial Property Team of The Seth Partnership Solicitors.
Naveen Palram – Residential & Conveyancing Executive
T: +0044 (0)20 8866 6464
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