04.06.2018

CALLING ALL LANDLORDS: MAKE SURE YOUR RESIDENTIAL AND COMMERCIAL RENTED PROPERTIES NOW MEET THE MINIMUM ENERGY EFFICIENCY STANDARDS (MEES)

 

From 1 April 2018, all domestic private rented property or non-domestic private rented property are expected to meets the minimum energy efficiency standards (MEES) of the The Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015    (MEES Regulations 2015), failing which a landlord may not grant a new tenancy, or extend or renew an existing tenancy of a domestic or non-domestic private rented property.

 

Summary of the new legislation

There are two key components of the MEES Regulations 2015 and these are:

• Measures which enable the tenant of a domestic private rented property to request the landlord’s consent to the tenant making energy efficiency improvements to the property regardless of any restrictions in their lease agreements as to making any improvements or alterations. Such consent must not be unreasonably withheld, subject to certain exemptions.

 

• Measures designed to ensure than landlords of both domestic or non-domestic private rented property meets MEES, subject to certain exemptions, failing which a landlord may not:

• • grant a new tenancy, extend or renew an existing tenancy of a domestic or non-domestic private rented property on or after 1 April 2018;
  • continue to let a domestic private rented property on or after 1 April 2020; or
  • continue to let a non-domestic private rented property on or after 1 April 2023.

It is worth noting that these regulations do not apply to properties being sold rather than let or owner-occupied properties but only private rented properties.

 

What is a ‘sub-standard property’?

Generally, a domestic or non-domestic private rented property is “sub-standard” where the valid EPC is below band E is required to make “relevant energy efficiency improvements” to bring the property up to the required standard.

 

Penalties for non-compliance

These can include financial penalties for domestic private rented properties up to £4,000 and for non-domestic private rented properties the greater of £10,000 or 20% of rateable value up to £150,000.

This will also include a publication penalty and an enforcement authority will publish information in relation to the penalty notice on a PRS exemptions register for at least 12 months. This can include the landlord’s address (where not an individual), PR property address and any financial penalty imposed.

For more information contact Jonathan Walker on 01922 639 080.

 

About the Author, Jonathan Walker.

Jonathan joined the firm as a trainee in 2004, qualified as a solicitor in 2007 and became a partner in 2011.
Head of the Commercial and Residential Property Department.
Fully qualified member of the Society of Trusts and Estate Practitioners (STEP)

T:   01922 639 080

@:  jwj@walkersolicitors.com