Commercial MEES: EPC B from 2031 for buildings over 1,000 m²

On 18 June 2026 the government published an interim response to its consultations on minimum energy efficiency standards for non-domestic rented buildings in England and Wales.¹ The headline is a single threshold.

What has been confirmed

• Privately rented non-domestic buildings over 1,000 m² must reach EPC B from 2031, where cost-effective. That is a year later than the 2030 date first proposed.
• The proposed interim step to EPC C in 2027 has been dropped.
• Buildings of 1,000 m² or less stay at the current EPC E minimum, with no date set for a higher standard.

What is not yet settled

This is confirmed policy, not law. The government has said the interim response is not its final position, and a full response is expected later in 2026. The existing 2015 Regulations stay in force until amending regulations pass through Parliament. The meaning of "where cost-effective" will matter a great deal and has not yet been defined in regulations.¹

How it should change decisions now

• Map assets by floor area. The 1,000 m² line now splits a portfolio into two very different risk groups.
• Look at lease events, not just the deadline. Break dates, renewals and voids before 2031 are the cheapest moments to do disruptive work.
• Price it into refinancing. Lenders and valuers will start asking about a credible route to B for larger assets well before 2031.
• Do not over-engineer. Lighting, controls and commissioning often move a commercial EPC further per pound than plant replacement. Fabric work fits best at refurbishment.
• Keep the cost evidence. If "cost-effective" becomes the test, the records that show what was considered and what it would cost will be what counts.

The EPC Upgrade Decision Matrix covers commercial property too →