Government strengthens non-domestic MEES to EPC B for large buildings

The government has published an update on the non-domestic Minimum Energy Efficiency Standards, announcing its decision to require large, rented commercial buildings in England and Wales to achieve EPC B by 2031.

Smaller rented buildings will still be subject to MEES regulations, but they retain the existing EPC E requirement.

Non-domestic MEES changes

The short “interim update” confirms:

• From 2031, all private rented buildings over 1,000 square metres in England and Wales will need to reach a higher standard of energy efficiency of EPC B, where cost effective.
• Buildings below 1,000 square metres remain subject to the current minimum standard of EPC E.
• The previously proposed interim EPC C milestone for 2027 will not be taken forward, giving landlords and tenants more time to improve the efficiency of their buildings in a way that suits their buildings and lease agreements.
• Existing flexibility mechanisms, including the 7-year payback test and exemptions, will remain in place , so that only improvements that are practical, affordable and cost-effective will be required

The government says that this focuses action where it delivers the greatest benefits, helping tenants in the largest rented buildings save energy and reduce their bills by £360 million per year by 2031.

About MEES

The Minimum Energy Efficiency Standards (MEES) set the minimum energy performance a property must meet before it can be legally let in England and Wales. The aim is to improve the energy efficiency of the nation’s building stock and help the UK reach its net zero targets.

For non-domestic (commercial) buildings, the current rules make it unlawful for landlords to grant or continue a lease on a property in England and Wales with an Energy Performance Certificate (EPC) rating of F or G unless a valid exemption is in place.

When non-domestic MEES changes come into force

The changes to raise MEES to EPC B for larger buildings will take effect following the successful passage of secondary legislation through Parliament. 

Further detail on the changes and implementation of the threshold will be set out in an upcoming government response to the public consultations. 

The government says it aims to introduce legislation and updated guidance “at the earliest opportunity”, but we don’t yet have a clear timetable.  

MEES exemptions

Some non-domestic buildings in scope of MEES can achieve exemption under certain circumstances. The latest government update (18 June 2026) explains that the existing criteria for exemption will still apply under the strengthened regulations.

Exemption examples include the “Seven-Year Payback Test” where energy efficiency upgrades must pay for themselves in seven years or less, and the “devaluation exemption” where properties would lose more than 5% of their value if efficiency upgrades are implemented. The government website has the full list of MEES exemption criteria.    

More information

We will keep an eye on any MEES updates from the government, so check back on the Energy Advice Hub for updates.

If you’d like to find out how Sustainable Energy First can help improve the EPC rating of your building for MEES compliance, get in touch. We can determine your current EPC rating and identify energy performance improvements to bring your rating up to the required standard, with fully visible cost and ROI.