A MEES report is a Minimum Energy Efficiency Standards Report. It was introduced as part of the government’s minimum energy efficiency standards for domestic properties in 2018.
A Minimum Energy Efficiency Standards (MEES) report is one of the best options for any landlord that is looking to find out what they need to do next when it comes to improving the rating to the required standard.
The purpose of this report is to identify the most cost effective measures that a landlord can implement to do so.
These new standards affect landlords more than anyone because from 1st April 2020, landlords will no longer be able to start new tenancies or even continue with existing tenancies if a property does not meet the required rating of an ‘E’ or above on their EPC.
This means that properties rated at an ‘F’ or a ‘G’ will no longer be rentable. Any properties that are still being rented after this deadline will leave the landlord liable for a substantial fine. In some rare instances there are exceptions and properties can be listed as exempt.
If you are a commercial landlord, the legislation started from 1st April 2018 but you will have until April 2023 to ensure that your property complies with the minimum energy efficiency standards of the property having an ‘E’.
These standards will apply to all existing commercial leases and will also leave the landlord liable for a fine. Up to the first 3 months, this can be up to 10% of the properties value but will cap at a maximum of £50,000.
However, if the property is being let out for longer than 3 months then the fine can be up to 20% of the property value and will cap at a maximum of £150,000. As with domestic properties, there are a few exceptions that will allow a landlord to let out a property that does not reach the required rating.
These include things such as if evidence is found that energy improvements to the property will decrease the property value or if the property does not pass the 7 year payback test. For more information on domestic or commercial exemptions, please contact your local government.
To get a Minimum Energy Efficiency Standards (MEES) report, you will need to have had an EPC done previously. MEES reports do not require a site visit as they are done from the data gathered when the EPC was carried out. This is why you should not just consider risk if a property has an ‘F’ or ‘G’ but those rated at an ‘E’ or even a ‘D’ too.
With energy performance standards becoming more and more stringent every day, if a property has not had an EPC done fairly recently then upon renewal the rating could come back worse. In short, as this needs to be done from previous data, the more up to date the EPC certificate is, the better
On a closing note, improving your property rating will not just help to avoid government fines but it can also benefit the landlord in the long run by improving the rental value of a property while significantly reducing the energy costs too.
If you would like to enquire about getting a MEES report, please call our offices on 0203 397 8220.
