EPC deadline for commercial properties extended by a year

Trade association Propertymark received clarification from the government after it wrote to the Secretary of State for Energy Security and Net Zero to find out if the relaxation of EPC standards on owner occupiers and the private rented sector (PRS) also applied to the commercial market. 

Last year, Prime Minister Rishi Sunak announced that private landlords would no longer be required to improve the EPC rating of their portfolio to a C by 2028. 

The commercial property sector still has an overall target of improving the EPC rating of properties to a B by 2030. Agents were originally required to bring this up to a C by 2027, and this has been pushed back to 2028. 

Propertymark also met with representatives from the Department for Energy Security and Net Zero (DESNZ), who said the government would support commercial property agents in improving the energy efficiency of their assets with a proposed grants scheme. 

The department said it would also set up a Business Energy Advice Service to support firms with the decarbonisation process. It is currently using the West Midlands Combined Authority as a pilot, and this is expected to become national in England and Wales by 2025. 

The British Energy Security Strategy was also published in 2022 with advice on how smaller businesses can improve energy efficiency and meet the government’s net-zero targets. 

Some 4,000 energy-efficiency assessments are expected to be completed by 31 March 2025. 

Tim Thomas, policy and campaigns officer at Propertymark, said: “We are pleased that the UK government has provided greater clarity on decarbonisation targets for non-domestic property in England and Wales. Whilst we welcome the milestone targets being moved, the UK government must speed up support through grants and advice to support commercial agents decarbonise their properties.

“In the meantime, we advise commercial agents within the West Midlands area to liaise with the pilot Business Energy Advice Service if they require any support and advice, as the decarbonisation of commercial property can be more complex than residential property. Propertymark looks forward to the support service going national.”