Synergy News & Blog: London Office
Landlords -are you ready for MEES?
The government has identified that the built environment is a major contributor to Green House Gas Emissions, which poses a threat to the UK in meeting its carbon reduction targets for 2020. It has been estimated that 18% of commercial properties in the UK hold the lowest EPC ratings of F or G.
The Minimum Energy Efficiency Standard (MEES) was introduced in March 2015 by the Energy Efficiency (Private Rented Sector) (England and Wales) Regulations 2015. The new legislation will make it unlawful from 1st April 2018 to rent out residential or commercial properties with an Energy Performance (EPC) Rating lower than an E (i.e. ‘F’ or ‘G’). It is likely that the minimum standard could rise in the future.
From 1st April 2018, the regulations will be enforced upon the granting of a new lease and the renewal of existing leases. Compliance must be ensured by landlords before a lease is granted. All non-domestic properties must comply with the regulations with the exception for those that do not require an EPC under current regulations, such as listed buildings. MEES does not apply to lettings of 6 months or less, or to lettings of 99 years or more.
The new regulations are mandatory and landlords must take action now to avoid penalties and protect the value of their assets. The regulations will be enforced by Trading Standards Officers. All penalties will be based on the rateable value of the property, up to a maximum of £150,000 per breach.