What to expect from changes to commercial MEES in 2025

The Minimum Energy Efficiency Standards (MEES) play a critical role in governing the environmental performance of commercial properties in the UK. With more stringent changes to minimum Energy Performance Certificate (EPC) requirements expected to be announced in 2025, Ross Docherty, Director at Protech, answers some key questions about MEES compliance.

1. What are MEES and what changes are being announced in 2025?

Commercial MEES regulations set a minimum energy efficiency level for all non-domestic rented properties that are legally required to have an Energy Performance Certificate (EPC)[1].

A commercial EPC is valid for 10 years. As of April 2023, landlords can no longer let properties covered by the MEES regulations if they have an EPC rating below E unless they have a valid exemption, full details of which can be found here.

However, later this year, the government is expected to announce long-awaited changes to the regulations for commercial real estate. The evidence so far suggests this will include raising the minimum EPC rating for commercial properties to B, after 2030 but before 2035[2].

2. What are the penalties for non-compliance?

While the government currently doesn’t expect every property to achieve an EPC rating of E, landlords must demonstrate they are undertaking improvements to ensure the building can achieve the highest EPC rating possible in a cost-effective way.

For those not proactively working to improve the efficiency of their building, the consequences of non-compliance with MEES can be severe.

Local Weights and Measures Authorities are responsible for enforcing compliance with the regulations and may issue a compliance notice requesting information where it appears a breach may have occurred, or where an exemption is invalid.

If there is no valid exemption, the landlord may be issued with a range of penalties. This can include a fine of up to £150,000 if the property is found to be in breach of regulations for more than three months[3].

3. What to do following an EPC audit?

As mentioned, commercial properties require a new EPC every 10 years, at which point a new EPC audit must be undertaken by a commercial energy assessor.

Following the completion of the EPC audit, consultants will typically provide the landlord with a series of potential upgrades which can improve the energy efficiency of the property. This is where Protech typically becomes involved, as our role is to help customers turn audit findings into an actionable plan.

When we visit a customer, we first listen to their primary goal – whether that’s simply meeting the minimum EPC requirements or aiming higher to attract new tenants. Some customers prefer a phased approach to improving energy efficiency over time, while others want changes implemented as quickly as possible.

Despite the unique requirements of each site, there are some common ‘quick wins’ we’ve helped customers implement to reduce energy consumption:

• Installing air source heat pumps
• Implementing variable speed drives on pumps
• Insulating pipework and ductwork
• Upgrading BMS control systems
• Retrofitting more efficient boilers and burners

4. What’s the difference between a full system replacement and retrofitting?

There are pros and cons to both full heating system replacements and retrofit upgrades.

Full system upgrades offer the potential for greater carbon reduction but typically incur a much higher cost. They also require a full shutdown of the building, so the impact of extensive planned downtime must be taken into account. However, full upgrades may qualify for grant funding or tax relief, depending on the project.

On the other hand, incremental upgrades through retrofitting can help achieve compliance while balancing cost and keeping the site operational.

5. How can Protech support?

At Protech, we specialise in carrying out retrofit work to help our customers achieve their desired level of energy performance and compliance. We are highly experienced in upgrading and replacing ageing systems and can tailor our solutions to suit all budgets and timeframes.

Ultimately, the expected changes to MEES regulations are creating uncertainty within the industry. However, we are here to support both landlords and tenants in finding the right energy solutions to ensure compliance not only for today but for many years to come.

[1] https://www.gov.uk/guidance/non-domestic-private-rented-property-minimum-energy-efficiency-standard-landlord-guidance

[2] https://www.cbre.co.uk/insights/articles/what-can-we-expect-from-the-upcoming-changes-to-minimum-energy-efficiency-standards

[3] https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1148676/non-dom-private-rented-property-minimum-standard-landlord-guidance.pdf (pg 46)