Energy efficiency in the home

Landlords of all non-domestic properties should be sitting up and taking note of legislation coming into force next year[1]. The effect will be to limit the ability of all landlords to let, extend or renew lettings of properties which are under-performing in the energy stakes. Any building falling within band F or G on an energy performance assessment could become an albatross around the landlord’s neck.

Can you afford to ignore the Regulations?

In a word, no. But landlords might also have issues around affording to comply with the Regulations as the consequences of having ‘sub-standard’ buildings include:

  • Potential capital outlay;
  • Properties being less marketable the less efficient they are;
  • Reductions in open market values of inefficient properties; and
  • Restricted financing and borrowing options.

Where’s the silver lining?

The good news is that there is one – just about. There are exemptions which landlords may take advantage of and the advance warning gives landlords time to assess portfolios: enabling strategic planning to take account of any works which might be necessary, or disposal of properties the benefits of which landlords may feel are outweighed by prohibitive future expense.

Want to know more?

See our full MEES briefing by clicking here which gives you the details:

  • Which properties are affected;
  • Exemptions and special cases;
  • Planning for the Regulations; and
  • Penalties for non-compliance.

In commercial terms, 2018 is just around the corner. Energy change initiatives are inevitable and unavoidable. Act now to minimise their impact.

If you’re interested in our earlier blogs on EPCs and MEES go to – http://talkingpropertylaw.gateleyplc.com/2015/01/16/act-today-literally/.

This blog was edited by Sally Coleman. For more information, email blogs@gateleyplc.com.

[1] Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015. Residential properties will also be affected.


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This blog is intended only as a synopsis of certain recent developments. If any matter referred to in this blog is sought to be relied upon, further advice should be obtained.