## Government urged to clarify commercial energy efficiency rules

Propertymark has written to Martin McCluskey, the minister for energy consumers, calling for urgent clarity on future energy efficiency standards for non-domestic buildings. The professional body highlights that agents and landlords are currently operating without clear direction as major investment decisions approach, particularly following the publication of the Warm Homes Plan, which mandates privately rented homes to reach an EPC rating of C by 2030.

## Challenges facing landlords in the private rented sector

While supporting the government’s drive to improve energy efficiency and tackle fuel poverty, Propertymark warns that the proposals present serious challenges for landlords and agents across both residential and commercial markets. Many private landlords face the prospect of extensive and costly retrofit work within a tight timeframe, often involving complex property stock that is difficult to upgrade.

Propertymark emphasises that these expectations come without firm long-term funding, workable delivery timetables, or sufficient flexibility, which could place undue pressure on housing supply. The organisation has repeatedly stressed the need for a phased approach, allowing landlords to meet the Decent Homes Standard, manage costs effectively, and contribute to net zero targets.

## Uncertainty over commercial standards hinders investment

Although rules for domestic properties are becoming clearer, Propertymark points out that the government’s silence on non-domestic MEES is increasingly damaging to the commercial sector. Commercial agents have been preparing for the possibility that buildings may need to achieve an EPC B rating by 2030, but no formal framework or guidance has yet been published.

This lack of clarity leaves advisers having to guide landlords and occupiers on leases, investment horizons, and asset management without certainty over future obligations. Propertymark warns that this uncertainty risks stalling spending, particularly in high streets and town centres, as owners hesitate to commit to upgrades, refurbishments, or regeneration projects.

## Additional policy changes add to concerns

Concerns are further heightened by other proposed policy developments, such as those in the English Devolution and Community Empowerment Bill. Measures including limits on upward only rent reviews and revised lease-end arrangements could interact with energy efficiency rules in unpredictable ways.

Propertymark highlights that the absence of detail on interim milestones, exemptions, enforcement mechanisms, and financial support makes responsible planning impossible. Agents report growing anxiety among clients facing large retrofit bills, disputes over payment responsibilities, and fears that premises could become unlettable if standards are introduced without adequate notice or support.

## Calls for urgent ministerial engagement and a clear roadmap

In response, Propertymark has requested meetings with ministers and officials to discuss the technical details behind the Warm Homes Plan and to ensure the practical realities faced by agents managing mixed portfolios are fully understood. The organisation is calling for a clear, detailed roadmap for commercial MEES, alongside a more flexible and achievable approach for private rented properties.

Without prompt and clear guidance, Propertymark warns that prolonged uncertainty could lead to properties being withdrawn from both housing and business markets. This would reduce supply, increase costs, and undermine government objectives around affordability, energy performance, and economic growth.