Logo
DORSET SOLICITORS FOR BUSINESS AND PERSONAL LIFE
Instant Quote Contact Us
« Back to News

EPC Changes Are Coming: Landlords Must Act

07 January 2026

Commercial landlords across Dorset are facing growing pressure as energy efficiency rules tighten.

Image

If you own, manage or invest in commercial property, upcoming Energy Performance Certificate (EPC) changes could soon determine whether your building can legally be let.

Although some deadlines have been delayed, the message from government is clear: minimum EPC standards are rising, and landlords who fail to prepare risk lost rental income, falling property values and enforcement action.

As commercial property solicitors in Dorset, we regularly advise landlords, investors and business owners on navigating these changes and protecting their commercial assets.

What is an EPC and why is it important?

An Energy Performance Certificate (EPC) rates the energy efficiency of a building from A (most efficient) to G (least efficient).

Under the Minimum Energy Efficiency Standards (MEES), commercial properties in England and Wales must meet a minimum EPC rating to be legally let. These rules apply to shops, offices, industrial units and other non-domestic premises.

Current EPC rules for commercial landlords

Since April 2023, commercial landlords must ensure their properties have at least an EPC rating of E, even if there has been no new lease or renewal.

Properties rated F or G are already classed as substandard unless a valid exemption applies.

Future EPC changes: what landlords should expect

The Government plans to increase the minimum EPC rating for commercial properties to EPC B. While earlier proposals suggested interim targets, the Department for Energy Security and Net Zero is expected to confirm updated deadlines by the end of 2025.

Although final dates are not yet confirmed, EPC B is widely expected to become mandatory between 2030 and 2035.

This is a major issue for landlords. Nationally, it is estimated that around 70% of commercial buildings currently fall below EPC B, meaning many properties may require significant upgrades.

Why EPC compliance matters for landlords

Failing to meet EPC requirements could result in:

  • Being unable to grant or renew commercial leases
  • Reduced rental income and asset value
  • Difficulties selling or refinancing property
  • Financial penalties and enforcement action

For landlords with older buildings, common across Dorset’s town centres and rural commercial stock, early planning is essential.

EPC exemptions: proceed with caution. Some properties may qualify for MEES exemptions, including where:

  • Improvements would not pay for themselves within seven years
  • All reasonable energy efficiency works have already been completed
  • Works would damage the building
  • Tenant or lender consent has been refused

However, exemptions are time-limited and do not transfer on sale. If a property changes ownership, the new landlord must either comply or register a fresh exemption.

This is where advice from experienced commercial property solicitors can be invaluable.

What commercial landlords should do now

To reduce risk and control costs, landlords should:

1. Review EPC ratings across your portfolio
Focus on properties rated D, E, F or G.

2. Plan improvement works early
Heating, insulation, glazing, lighting and renewable energy can all improve EPC ratings.

3. Identify and register valid exemptions
Exemptions must be properly evidenced and registered to be relied upon.

4. Keep detailed records
Clear documentation can help defend against enforcement action.

5. Review lease terms
Ensure leases allow access for energy upgrades and require tenant cooperation.

6. Stay informed
Energy performance rules continue to evolve, and further reforms are expected.

How we can help

We support commercial landlords and investors across Dorset with practical, commercially focused legal advice.

As experienced commercial property solicitors in Dorset, we advise on:

  • EPC and MEES compliance
  • Exemptions and risk management
  • Commercial lease drafting and negotiations
  • Property acquisitions, sales and due diligence

If you would like advice on how EPC changes could affect your commercial property, our team is here to help. Call  01202 526343 or via our contact page: Contact Us AB Solicitors For Your Legal Needs

 


Further Information