MEES Compliance in 2025: What Landlords Must Do Now

The Minimum Energy Efficiency Standards (MEES) are evolving. Under current legislation, landlords cannot let commercial properties in England or Wales with an Energy Performance Certificate (EPC) rating below E. However, proposals for 2025 and beyond suggest significantly tighter requirements are on the way.

If you own or manage commercial property, it is essential to understand what these proposed changes mean, how they affect your portfolio and what you should be doing now to prepare.

What Are the Current MEES Requirements?

As of April 2023, MEES regulations prohibit landlords from continuing to let non-domestic properties that have an EPC rating of F or G, unless a valid exemption is registered.

These rules apply to:

• All new leases
• All lease renewals
• All existing leases (from April 2023 onwards)

Non-compliance may result in civil penalties of up to £150,000 and reputational damage, particularly for portfolios held by investors or public-facing businesses.

What Is Changing in 2025?

Although MEES legislation currently sets the minimum EPC rating at E, the UK Government has indicated its intention to increase this standard to:

• EPC rating of C by 2027
• EPC rating of B by 2030

A formal consultation on these proposals concluded in 2021. While final confirmation is still awaited, landlords are advised to begin preparing now, as building upgrades can take time and budgets may be tight when new rules take effect.

Why the Change?

These tightening standards are part of the Government’s strategy to:

• Reduce greenhouse gas emissions
• Improve building energy efficiency
• Lower operational costs for tenants
• Drive long-term sustainability in the commercial property sector

Landlords that fail to prepare may face rising compliance costs, difficulty letting non-compliant units and increased pressure from regulators and investors.

What Landlords Should Be Doing Now

1. Review Your EPCs

Begin with an audit of your current EPCs. Determine which properties are below a C rating and prioritise those for action.

If your EPC is more than five years old, or if building modifications have occurred, a new assessment may be necessary.

2. Plan for Upgrades

Engage with a compliance consultant or energy specialist to identify cost-effective improvements. Common measures include:

• Upgrading lighting systems to LED
• Improving insulation and glazing
• Installing high-efficiency HVAC systems
• Adding smart controls or building management systems
• Using renewable energy such as solar PV

3. Consider Lease Events

Align upgrade works with lease breaks, renewals or void periods to minimise disruption and maximise investment recovery.

4. Budget Accordingly

Plan capital investment ahead of time. Costs may be lower when upgrades are phased rather than left until the last minute.

5. Understand Exemptions

In some cases, exemptions may apply. These must be registered on the PRS Exemptions Register and supported by evidence. Common exemptions include:

• Cost-effectiveness exemptions
• Consent not obtained from third parties
• Devaluation of property due to improvements

Inteb can assess your eligibility and manage the exemption process on your behalf.

Strategic planning for MEES compliance helped this commercial portfolio save over £200K and reduce leasing risk.

Case Study: Portfolio-Wide MEES Strategy Saves Over £200K

A regional landlord managing a mixed portfolio of 18 properties, including office space and light industrial units appointed Inteb to assess exposure to upcoming MEES changes.

Our review revealed that nine of the properties fell below the anticipated EPC C rating threshold. We developed a phased compliance strategy focused on cost-effective improvements such as LED lighting upgrades, insulation enhancements and the optimisation of control systems.

The works were carefully scheduled around lease events and completed over an 18-month period. This proactive approach enabled the landlord to avoid premium upgrade costs, secure longer lease terms, and reduce overall capital expenditure by more than £200,000.

What Happens If You Fail to Comply?

Landlords that do not meet MEES requirements by future deadlines may face:

• Legal restrictions on letting non-compliant properties
• Inability to issue new leases or renewals
• Financial penalties
• Reduced property value
• Increased tenant turnover or void periods
• Difficulties obtaining green finance or insurance

Early action reduces exposure to these risks.

Need help with MEES compliance? Visit our homepage and #justaskceejay to get expert answers and guidance.

How Inteb Supports MEES Compliance

Inteb works with landlords, asset managers and property developers to ensure their portfolios remain compliant, marketable and efficient. Our services include:

• EPC assessments and reviews
• MEES risk audits and property scoring
• Upgrade strategy development and ROI analysis
• Project management of works
• Exemption management and reporting
• Integration with net-zero and ESG planning

We align energy performance with investment strategy and lease management, helping you stay ahead of legislation.

Visit our MEES Compliance page to learn more.

Summary: MEES 2025 Action Plan

• Audit all EPCs across your portfolio
• Identify properties below C rating
• Engage with experts to plan upgrades
• Phase improvements based on lease events and ROI
• Monitor policy changes and deadlines
• Act early to protect capital and reduce disruption

Book Your MEES Review Today

MEES compliance is changing. Inteb helps you stay in control, avoid risk and maintain the value of your assets.

Contact our team today to arrange a portfolio review and prepare for 2025 with confidence.