News & Insights

 The Basics

If you own and wish to let or rent a domestic property then before you do so, make sure you are ‘in the know’ of the Minimum Energy Efficiency Standards (MEES).

As of 1^st April 2018, Landlords of both domestic properties will not be able to agree a new letting or tenancy for a property where the Energy Performance rating is below the E Grade.  This means that if the property you are purchasing or currently own has a poor EPC then prior to being able to let out the same, you would have to first have to undertake any works necessary to bring the Energy rating to an E or above.

If you intend on mortgaging a property at any point, then you should also check with your proposed lender as to whether the valuation is based upon the rental income of the property as if so a low EPC rating could restrict it from being rented out until this is remedied, which could affect the valuation and potential finance offered.

What if I don’t meet with the regulations?

There are financial penalties if you proceed and let out the property without the necessary Energy rating. These start at a penalty of £2,000 but can reach higher for non-domestic properties. Local authorities will be instructed to review privately let properties and to issue notices and penalties for non-compliance.

Are there any exemptions?

There are certain exclusions and exemptions that could result in this not applying to a property, such as if the Lease or letting is for a term of less than 6 months, or for a term of more than 99 years.

There are additional exemptions which can be viewed and applied for here and we would recommend that you visit this website to see whether you qualify for such exemption(s).

Will the Regulations change in the future?

It is currently proposed that as of 1st April 2020, Landlords will not be able to continue to let a relevant domestic property if that property has an EPC rating of band F or G (as shown on a valid Energy Performance Certificate for the property) so you may wish to consider this if you have other buy to let properties.

If you require further assistance on a property matter then please contact:-

Parkstone office, 257- 259 Ashley Road, Poole, Dorset, BH14 9DY 01202 743286  k.parsons@laceyssolicitors.co.uk