Energy legislation could lead to buildings becoming unlettable

03 September, 2014

Property companies, landlords and agents need to act urgently to comply with forthcoming energy legislation or they will lose out financially — warns Stewart Little, managing director of IRT Surveys, one of Europe’s largest independent surveying practices. One danger is that commercial properties not meeting minimum Energy Performance Standards cannot be let.

Under the Energy Act 2011, non-domestic energy-efficiency regulations must come into effect in England and Wales no later than 1 April 2018 and in Scotland no earlier than 1 April 2015. The legislation forms a key part of a package of measures by the Government to achieve an 80% reduction in greenhouse-gases by 2050.

Stewart Little explains, ‘This has serious consequences for all property owners, landlords and agents. If a building cannot be let because of a poor MEPS rating, its marketability is severely affected and there is no income stream.

‘Unfortunately, many of the energy-efficiency surveys, such as Energy Performance Certificates, carried out so far have not been accurate, so it is difficult to set a benchmark and trust a simple EPC.’

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