The non-domestic minimum standards set a minimum energy standard of an EPC rating of "E", and a backstop date on 1 April 2023 to encompass all properties.
From 1 April 2018 landlords must not let any such sub-standard non-domestic property to new tenants, or renew or extend an existing tenancy agreement with existing tenants, unless either:
- an exemption applies which has been registered on the PRS Exemptions Register; or
- the landlord has made all the relevant energy efficiency improvements that can be made to the property (or that there are none that can be made) and the property’s energy performance indicator is still below an EPC E, and this exemption has been registered on the PRS Exemptions Register.
Then, from 1 April 2023, landlords must not continue to let a sub-standard non-domestic property to existing tenants (even where there has been no tenancy renewal, extension or indeed new tenancy) or to new tenants, unless an exemption applies
Installation of the energy efficiency improvements will only be required for a non–domestic property where the recommended measure (or a package of measures) achieves an energy efficiency payback of seven years or less.
The regulations apply upon the granting of:
- a new tenancy to a new tenant, and,
- a new tenancy to an existing tenant
The regulations will apply to ALL privately rented property in scope of the regulations, in line with the existing regulatory “back stop” date of 1st April 2023
Local Authorities can use enforcement measures or issue a fine for any privately rented homes that are in breach of the regulations