In early March 2026, the UK government released new information on expectations for energy efficiency rules of both domestic and commercial buildings. If you are the landlord of a commercial property, you should pay attention: this could have real consequences for the future of your business.
It might seem overwhelming, but there is time to make the necessary requirements if you start now. Let’s get into what an energy performance (EPC) certificate is at the moment, how it is set to change, and what you can do to keep your business up to speed.
What is an Energy Performance Certificate?
An Energy Performance Certificate (EPC) is an official document that rates how energy efficient a property is, along with its typical energy costs and environmental impact. It’s a legal requirement in the UK whenever a property is built, sold, or rented.
Each EPC gives a property a rating from A (most efficient) to G (least efficient), similar to the energy labels you see on household appliances. The certificate also includes:
- An estimate of energy usage and running costs
- The property’s carbon dioxide (CO₂) emissions
- Practical recommendations for improving energy efficiency
EPCs are valid for 10 years, and they must be carried out by a qualified energy assessor who evaluates factors such as insulation, heating systems, windows, and overall construction.
Why EPC Ratings Matter for Commercial Landlords
While many of the recent updates regarding minimum EPC ratings refer to changes for domestic, private rental properties, the government is in the process of increasing expectations for commercial landlords, too. Some of the ways it can impact your building(s) include:
Compliance
For commercial landlords, EPCs are not just a box-ticking exercise; they play a direct role in whether a building can be legally let and how easily it can stay compliant over time. With the EPC regime evolving towards more stringent rating expectations, landlords need to pay closer attention to energy performance as a practical compliance issue, not just an environmental one.
Energy efficiency
It might sound basic, but having a healthier EPC rating means that your buildings are more energy efficient, which can help reduce your operational costs along with your carbon emissions. This means that less heat escapes from the building in winter or enters in summer, and systems like lighting and HVAC use less energy to maintain a comfortable environment.
Asset value
Energy-efficient commercial properties are more attractive for businesses looking to rent the space and considering long-term operating costs. A stronger energy performance certificate can help protect value, while a weaker one may signal higher Capex needs and greater exposure to future regulatory change. One example of energy efficiency improvement is the installation of a solar photovoltaic (PV) system on a warehouse roof.
EPC Compliance Measure Changes
So, what has changed? Technically, nothing yet. The most recent information was only a partial response to an EPC update enquiry. The current minimum energy efficiency standard (MEES) for non-domestic properties remains at an E rating, as advised in April 2023.
However, in the past the government has estimated that if a 2030 Band B requirement were in place, it could bring up to 85% of rented non-domestic buildings into scope (around 1 million across England and Wales). This is not currently a legal requirement, but it signals the likely direction of travel. It might sound like a while away, but many UK buildings need a lot of work before they can meet these ratings.
Performance indicators
One of the primary ways that EPC rules are changing is the way in which performance indicators are measured. For domestic buildings, multiple metrics will now be used to decide the energy efficiency rating (energy cost, fabric performance, heating system and smart readiness). For non-domestic buildings, the government intends to maintain the single carbon-based Environmental Impact Rating (EIR).
Transparency
Since 9 January 2013, public non-domestic buildings over 500m² have been required to display a valid EPC in a prominent location. A valid EPC must now be made available to prospective buyers or tenants and is typically included in property listings, ensuring that energy performance is visible from the outset. This means occupiers can compare buildings based on their energy efficiency, expected running costs, and environmental impact before making a decision.
How to Make Commercial EPC Improvements
Thankfully, EPC standards also include suggestions for how landlords can make energy efficiency improvements to improve their ratings. If you are in this position, you could try these ideas on for size:
1. Switch up your lighting
Lighting upgrades are often one of the simplest starting points, with government guidance highlighting lighting systems as a primary energy-saving technology for businesses, including time controls, presence detectors, and daylight-linked controls that automatically switch off or dim lights when they are not needed.
One such case study is Waterfield Bakery in Wigan, which saw a 78% energy saving when they partnered with Perfect Sense Energy to install LED lighting.
2. Install solar panels
Installing solar panels is the cherry on top for commercial landlords looking to improve their EPC rating. In fact, it turns out that this is exactly how 12% of rental businesses intend to meet new demands. While the exact EPC impact will vary by building, solar can make a meaningful contribution to improving your overall energy profile while also supporting long-term cost savings and sustainability goals.
In the case of manufacturing company C-Tec, solar panels not only met their environmental goals but also saved them £33,000 in the first year alone!
4. Upgrade heating systems
HVAC accounts for 38% of a building’s energy profile, so upgrading your HVAC setup or moving towards low-carbon heating (like heat pumps or waste heat recovery) can make a real difference.
Take warehouses, which are notoriously difficult to keep at a comfortable temperature. High ceilings, vast open floor space, and doors that are constantly opening and closing all make it easy for energy to escape, especially if your setup is getting on a bit – green heating can be night and day in these cases.
5. Implement smart energy controls
Smart energy controls help ensure energy is only used when and where it’s needed. By automating systems like lighting, heating, and ventilation based on occupancy or time of day, they reduce unnecessary energy use without compromising comfort. Energy Technology List even reported a case where heating controls resulted in a 50% cut in heating energy consumption!
6. Improve insulation and glazing
Insulation and glazing go hand in hand when it comes to keeping energy where it’s needed. Improving roof, wall and floor insulation (alongside upgrading windows to double or triple glazing) helps retain heat in winter and keep excess heat out in summer.
The result is a more stable indoor temperature and less reliance on heating and cooling systems. There’s also a financial upside, with capital allowances available for certain insulation-related improvements in non-domestic buildings.
Invest in Solar for a Stronger EPC Rating
The deadline for the new commercial EPC requirements might seem distant and indefinite, but one thing is absolutely clear: stricter EPC standards are coming, and properties that don’t meet them could end up behind the curve. You need to pull out all the stops if you want to meet the minimum energy performance certificate ratings to come.
Time and again we have seen solar panel installation pay dividends in energy efficiency upgrades, particularly for commercial buildings. Not only does a quality solar photovoltaic system increase your rating in an EPC assessment, it also helps provide energy security and lower energy bills in the process.
If this is something you are seriously considering, Perfect Sense Energy can help with design, installation, and long-term maintenance. Book a no-cost desktop consultation today and see if it’s for you.
