How Energy Efficient Is Your Rental Portfolio?

If you have diversified your farm income by converting any of your outbuildings for commercial rent, are you aware that new minimum energy efficiency standards (MEES) announced last year came into force in April 2018? Minimum energy efficiency ratings have been a concern for landlords of older residential and commercial buildings, particularly on farms where many are made of traditional materials and are not easy to upgrade. The new standards, introduced for all rental properties, mean that buildings (with some exceptions) with an energy efficiency rating below E cannot be rented out or sold.

Meeting carbon reduction targets

This legislation is part of the government's commitment to meeting its carbon reduction targets. It has been recognised that buildings contribute significantly to greenhouse gas emissions and the government estimates that around 18% of commercial buildings fall below the required standards. Those properties that do not require an EPC include