Potential changes to the domestic MEES regulations
The Domestic Minimum Energy Efficiency Standard (MEES) Regulations set a minimum energy efficiency level for domestic private rented properties, but now new proposals look to move the bar for what those acceptable levels will be. With nothing yet confirmed, and timeframes looking pretty generous, there’s nothing to panic about. But it’s worth getting to grips with what might be coming early.
Does MEES apply to me?
The Regulations apply to all domestic private rented properties that are:
Let on specific types of tenancy agreement
Legally required to have an Energy Performance Certificate (EPC)
Since 1 April 2020, landlords can no longer let or continue to let properties covered by the MEES Regulations if they have an EPC rating below E, unless they have a valid exemption in place.
Changes are coming
In March 2021 the government launched a consultation on the proposed framework to implement tighter minimum energy efficiency standards (MEES) for privately rented non-domestic buildings in England and Wales to reach a long-term target of having an Energy Performance Certificate (EPC) rating of B by 2030. The consultation closed on 9 June 2021.
Under the proposals, landlords will need to present a valid EPC by 1 April 2025 and will then have until 1 April 2027 to improve the building to at least an EPC rating of C.
Landlords will then need to repeat the same process by providing a valid EPC by 1 April 2028 and subsequently ensure that by 1 April 2030 the building has improved to at least an EPC rating of B.
If the above levels cannot be met, the landlord must register a valid exemption as is the current practice.
Failure to comply may lead to fines and penalties.
When will it all happen?
Assuming that the proposals described in the consultation are implemented, the timeline until 2030 could be as follows:
From now until 30 March 2023: properties let with an EPC below E and no valid exemption are subject to enforcement risk (no change to the current legislation).
1 April 2023 to 30 March 2025: properties continuing to be let with an EPC below E and no valid exemption are subject to enforcement risk (no change to the current legislation).
By 1 April 2025: all rented properties to be registered and have a valid EPC..
From 1 April 2027: all rented properties to meet a minimum of EPC C or have a valid exemption registered; and
By 1 April 2028: EPCs to be checked (renewed if possible) for rented properties – this identifies properties which will need further improvements; and
From 1 April 2030: all rented properties to meet a minimum of EPC B or have a valid exemption registered
This consultation closed on 9 June 2021 and is currently being analysed by the government.
What should I do now?
For the moment landlords need to watch this space and we would recommend that landlords prepare as much as possible by reviewing their current property portfolio and identifying those properties at risk which may be at risk.
Further information around the minimum energy efficiency standards for landlords can be found here.
