If you lease out a flexible workspace, then you could be affected by the Minimum Energy Performance Standards come April 2018.
As of April 2018, new legislation known as the Minimum Energy Performance Standards (MEPS), also known as Minimum Energy Efficiency Standards (MEES), will make it unlawful for landlords to lease out their properties with an F or G Energy Performance Certificate (EPC) rating, including commercial office spaces.
Numerous serviced and managed office providers assumed they were exempt from this legislation due to them not being the primary landlord, however the legislation applies to any tenancy agreement over six months, including sub-leases.
The MEPS legislation proposes a substantial risk to companies who sub-let space, as they will be treated as a landlord and will have to comply with the legislation. Superior landlords may also struggle to sublet sub-standard spaces, if they have a poor EPC rating.
Compliance365 have come up with recommendations for managing your MEPS compliance;
- For landlords who have multiple assets, such as multiple offices, review how monitor compliance.
Compliance365 recommend that all your data should be stored digitally in a centralised location. Our bespoke cloud-based compliance management software allows you to monitor compliance of your property portfolio, keeping track of the certificate ratings and their expiry dates, alerting you of any at risk properties. Click here to find out more about our C365Cloud system and how it could help you.
- Identify which properties have a low or no EPC rating.
Each individual property will be required to have an EPC, and under the new MEPS legislation if you are to lease out your property, it must have an EPC rating of at least an E! Every time the regulations are altered or upgraded, each EPC rating becomes harder to achieve, therefore you cannot assume because your property was certified as being compliant at an E rating previously, under the stiffer tests it may no longer be. Ensure you are compliant by preparing for the legislation now!
- Identify which properties are exempt.
In certain cases, you can register for exemptions by submitting relevant documents onto the PRS Exemptions Register. Exemptions from MEPS can apply if sufficient evidence can be provided. An exemption may be; the property’s EPC rating is still an F or G even after energy efficiency improvements have been carried out, 3rd party consent is refused, if you are currently letting the property (unless there is a change in the lease) until 2023 when the regulation changes meaning they will have to comply.
- Ensure you leave yourself enough time to carry out any improvement works which may be required.
We offer an EPC and review service, initially reviewing your property portfolio to understand the rating achieved by each building, determining where gaps of non-certification appear and which properties fall below the required E rating. We will then conduct a “what if” scenario simulation, completing a detailed analysis of data, accurately calculating the least expensive and easiest upgrades to attain compliance.
- Ensure you understand the improvement works installed.
Some improvement works may involve new heating systems or new lighting systems, guarantee you get the best result from your improvements by undertaking one of our behavioural workshops. We recognise that our customers may not understand the various improvements adopted into their properties. Our behavioural workshops are tailored specifically to individual needs, providing tips on energy saving.