When making improvements on their commercial properties, landlords should consider using energy-efficient methods and materials, as this will help them meet regulation requirements as they become more stringent.
By 2030, the government is expected to raise the minimum energy efficiency requirements for a let property to an EPC B rating.
Although this is still seven years off, changes are already coming into play to make commercial properties more energy efficient.
From April 1st 2023, for instance, these assets need to have an EPC rating of E, unless an exemption applies.
Consequently, landlords who continue to let a property that do not fulfil these requirements will be breaking the law.
If they fail to do so, they could be forced to pay a penalty of up to 20 per cent of the property’s rateable value. This is determined based on its open market rental value.
Landlords whose properties do not currently have an EPC rating of E will, therefore, have to implement energy-saving measures before the April deadline. This could include installing internal or external wall, floor or loft insulation, having low-energy lighting, and replacing the boiler with a modern one.
If they are being forced to make those improvements now, it would be prudent to fit more effective energy-efficient measures to achieve an EPC rating of B. This way, they will not have to make additional alterations in a few years’ time.
For more information regarding the new legislation, call our commercial property solicitors in Hull, who can fill you in on what you need to do to meet the new requirements from April.