Commercial EPC

A commercial EPC shows how efficiently a shop, office or other type of business building uses energy. To sell or let the property you need one, and it remains valid for 10 years.

lowest rating allowed for most business lets
E
the date the E rule covered every existing let
1 April 2023
the size threshold for a planned B rating from 2031
1,000 m²

When you need an EPC for commercial property

When business premises are sold, let or built, they need an EPC (Energy Performance Certificate), the same as homes. Homes, business property and public buildings are all covered by the GOV.UK assessment service.

GOV.UK covers the few buildings that are not required to have one.

  • buildings meant to be temporary, with use lasting less than 2 years
  • a detached building whose floor area is below 50 square metres
  • low energy industrial sites, workshops and farm buildings
  • places of worship
  • Some buildings that are going to be demolished

EPC ratings that rental business premises must reach

Business lets fall under MEES commercial rules (the Minimum Energy Efficiency Standards), which require at least band E. From 1 April 2023 this covers all privately rented non-domestic property, even where the tenant stays the same.

Earlier, from 1 April 2018, only tenancies that were new, renewed or extended were covered.

The rules cover any let with a fixed term longer than 6 months and shorter than 99 years If the property isn't occupied and you have no plans to rent it out, you can hold off until you do.

Exemptions commercial landlords can use

The only upgrades you must make are ones that pay for themselves A measure fails the 7 year payback test if its cost is more than 7 years of bill savings. The list of exemptions also covers:

  • all improvements made: everything possible has been done and E is still not reached
  • wall insulation: an expert's written advice warns it would damage the building
  • third-party consent: consent is refused by a tenant, a freeholder or the planners
  • devaluation: a surveyor acting independently finds the value would drop by over 5% because of the work
  • new landlord: after taking on a let property you get a 6 month breathing space

How to register an exemption

Most exemptions run for 5 years, but they count only if you put them on the PRS Exemptions Register After one ends, you either register a fresh exemption or try again for E.

The exemption doesn't always transfer when ownership changes. To carry on letting after buying, the new owner has to raise the rating or register an exemption of their own. Each type is explained on exemptions.

Bigger buildings and the planned B rating

A narrower plan was put forward by the government in June 2026. Buildings over 1,000 square metres that are privately rented would have to hit B from 2031, where that makes financial sense.

The E standard would still apply to smaller buildings. An older proposal for a C rating by 2027 was abandoned.

For now, none of this has been made law. Before any of it can apply, secondary legislation has to get through Parliament.

Commercial EPC cost

No fixed price exists. The cost of an assessment depends on the assessor and how big the property is, says GOV.UK.

Assessing large, complex buildings costs far more than assessing homes, the Scottish Government notes. Get quotes from a few assessors who are qualified for your kind of building. To get going, see book an EPC.

What the reform means for business EPCs

Business EPCs in England and Wales will keep a single headline score. That score is the Environmental Impact Rating (EIR), which is carbon-based. Bigger changes are coming to home EPCs, as EPC reform explains.

In Scotland, new-style business EPCs arriving 30 April 2028 will measure energy performance, energy use and direct emissions. An old-style EPC can stay in place for large buildings that the public often visits, until it runs out or until 30 April 2033, whichever comes first.

Common questions about commercial epc

Is an EPC needed for a commercial property?

Yes, if it is sold, let or built, except where an exemption applies. Places of worship are one example, and so are some industrial buildings that use little energy.

What is the lowest EPC rating allowed for a commercial let?

Band E applies in England and Wales, unless you have registered a valid exemption. Buildings bigger than 1,000 square metres might need B from 2031, should the plans become law.

How long is a commercial EPC valid?

A commercial EPC runs for 10 years, unless someone produces a newer one for the same building.

Who is allowed to carry out a commercial EPC?

You need an accredited assessor qualified for that kind of building. The GOV.UK service for finding an assessor covers England, Wales and Northern Ireland for business property.

Is letting a commercial property allowed if it has an F rating?

Only if the let falls outside the rules, or if you hold a valid registered exemption. One case is a term fixed at 6 months or less.