Why Commercial Landlords Shouldn’t Wait to Meet EPC B Standards

Why acting now will save you more: 2030 isn't as far away as you think.

The UK Government's promise to reach net-zero carbon emissions by 2050 is coming up fast and is already having a big effect on the commercial property market. One of the biggest changes in the rules is that all privately rented buildings that aren't homes must have a minimum Energy Performance Certificate (EPC) rating of B by 2030.

Because of the financial problems that have been happening in the business world for the past few years, a lot of people are putting off taking action. But putting things off can greatly raise the risk of losing money:

1. Rising Costs of Retrofits

The prices of materials, labour, and energy-efficient technologies are all going up quickly, just like everything else. As the deadline gets closer, this trend is likely to continue, which means that the last-minute rush will cost you. Landlords can save those early bird deals and lower the chance that the service or product will be delivered if they act now.

2. Rental income that was lost

The government plans to set up compliance windows in 2025 that will require landlords to show that they are making progress towards EPC B1. If properties don't meet interim standards, they may not be able to be rented out, which would mean empty periods and lost income.

3. Lowered Value of Assets

Companies are seriously considering the energy efficiency of their next rental when it comes to moving location. With many businesses expected to reduce their carbon, investors and renters are putting eco-friendly, low-carbon buildings at the top of their lists. Buildings that don't do well on the EPC scale may lose value and be harder to sell.

4. Punishments for not following the rules

If you don't follow the 2012 Energy Performance of Buildings Regulation for England and Wales, you could be fined up to £5,000. As the deadline gets closer, business owners can expect these penalties to get worse.

The path to EPC B is more than just a legal requirement; it's also a chance to make a smart move.

Not only is the path to EPC B a legal requirement, but it is also a chance to make a smart move. Landlords can lower their costs, raise the value of their properties, and become leaders in the shift to a low-carbon economy by taking action now.

Book your decarbonisation survey today to start moving towards a future that is better for the environment and more profitable.

Email: Michael.constantinou@b-enggroup.co.uk

Phone: 07399113788

Reference: Department for Business, Energy & Industrial Strategy (2020). Energy Performance Certificates for buildings: action plan. GOV.UK. Available at: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/922660/EPC_Action_Plan.pdf [Accessed 30 May 2025]

Department for Business, Energy & Industrial Strategy (2021). Non-domestic Private Rented Sector Minimum Energy Efficiency Standards: EPC B future trajectory implementation. GOV.UK. Available at: https://assets.publishing.service.gov.uk/media/6051337ed3bf7f0453f7b992/non-domestic-prs-mees-epc-b-future-trajectory-implementation.pdf [Accessed 30 May 2025].

2020 Legislation Changes Property Investors Need to Know | Ramsay & White. https://www.ramsayandwhite.com/insights/2020-legislation-changes-property-investors-need-to-know [Accessed 30 May 2025]