EPC Regulations: What Property Professionals Must Know

EPC regulations used to be easy to park: a short reference in the report, a standard sentence dropped in, and attention moved on. They rarely shaped advice or triggered difficult conversations with clients, just a simple tick box.

That approach no longer works. EPCs now carry real weight. For UK and Irish surveyors, energy performance sits firmly within scope, whether the instruction mentions it or not. Clients expect you to spot issues early and explain what they mean. Regulators expect you to show you’ve considered EPCs properly, so staying quiet is no longer acceptable. 

Recent changes to EPC regulations in the UK have shifted energy performance from “good to be aware of” to something that directly affects risk. EPC ratings can influence value and lettability, not to mention the future options for a property. 

This guide looks at EPC regulations through a surveyor’s lens, with practical guidance on what matters and what needs to go in the report.

What this guide covers

• What EPC regulations are and why they matter more now
• EPC regulation changes in the UK surveyors must understand
• Minimum Energy Efficiency Standards (MEES) explained simply
• EPC regulations for residential property
• EPC regulations for commercial property
• How EPC rules affect surveys, valuations, and due diligence
• The role of retrofit, sustainability, and construction methods
• Common client questions and how to answer them clearly
• How digital reporting tools like GoReport can help

EPC regulations control how Energy Performance Certificates are used. An EPC shows how energy efficient a building is. Ratings run from A (very efficient) to G (very inefficient). The certificate also gives an idea of energy costs and carbon impact.

EPC regulations in the UK now decide whether some properties can be legally rented. They also affect buyer demand, lending decisions, and long-term value. For surveyors, this means EPCs are now part of wider advice about risk, cost, and future use.

Before looking ahead, it helps to be clear on what already applies.

Minimum Energy Efficiency Standards (MEES) Explained

MEES are the main rules behind EPC regulations.

Right now:

• Most rented homes must have an EPC rating of E or better
• Most rented commercial buildings must also be rated E or better
  

If a property scores F or G, it is classed as substandard. In most cases, it cannot be legally let unless an exemption is in place. This is why EPCs now come up so often in survey work.

Enforcement and exemptions made simple

Local councils enforce EPC regulations. Some are more active than others, but enforcement is increasing.

Exemptions are possible, but they:

• Do not last forever
• Must be backed up with evidence
• Have to be registered
  

Most exemptions last five years. After that, the position must be reviewed again. This is important to explain clearly, as many clients assume an exemption solves the problem permanently.

This is where confusion often starts. The government has discussed raising minimum EPC standards. Timings have moved, but the direction is clear.

Current proposals suggest:

• Rental homes may need to reach EPC C
• Commercial buildings may be expected to reach EPC B
  

The dates are not fully fixed, but higher standards are expected over time.

Why does this matter now? Because energy improvements take planning. Leaving everything until the last minute usually costs more. Surveyors who flag this early help clients avoid rushed decisions later.

Residential EPC regulations affect almost every type of home.

Older homes and EPC ratings

Many homes in the UK and Ireland are older. They were built before modern insulation and heating standards.

Common issues include:

• Poor wall insulation
• Single glazing
• Old boilers or electric heating

Improving EPC ratings in older homes usually means retrofit work. This is the process of upgrading an existing building to make it more energy efficient. Common examples include adding insulation, replacing an old boiler, improving glazing, or fitting better heating controls.

These changes can improve comfort and lower energy bills, but they also come with trade-offs. Costs vary widely, work can be disruptive for occupiers, and planning rules may limit what can be done, especially in listed buildings or conservation areas.

Surveyors are often asked whether these improvements are worth doing. The honest answer depends on the property, the budget, and how the building is used.

EPCs and buying or selling homes

EPC regulations affect rentals more directly, but buyers still care.

A low EPC rating can:

• Put buyers off
• Lead to price negotiations
• Affect mortgage offers
  

When carrying out pre-purchase surveys, surveyors are increasingly expected to comment on energy performance, not just defects.

Commercial EPC regulations often involve higher risk and greater cost, mainly because EPC ratings are closely tied to how a building can be used and how attractive it is to the market. If a commercial property cannot be legally let due to a low EPC rating, its value can fall quickly, as demand from tenants drops and future upgrade costs become harder to ignore. This is why the term “stranded asset” is used more often. It describes buildings that struggle to meet modern energy rules and, as a result, lose value faster than expected. Surveyors are often the first professionals to spot this risk and raise it with clients.

Energy performance also plays a growing role in environmental checks during commercial property transactions. EPC data is now commonly reviewed during purchases, refinancing, and portfolio assessments to help buyers understand future costs and compliance risks. For a wider view of how EPCs fit into this process, GoReport’s guide to environmental due diligence for property transactions explains the link in more detail.

This is where EPC rules affect everyday work.

Surveyors are not expected to design energy upgrades. But they are expected to explain what EPC ratings mean.

Surveys and reports

Energy efficiency now appears more often in survey reports.

For example:

• Poor insulation affects both comfort and EPC rating
  
• Old heating systems increase running costs and compliance risk
  

After listing issues, it helps to explain what they mean for letting, selling, or future cost. Clients value clarity more than technical detail.

Valuations and EPCs

EPC ratings do not set value on their own, but they influence the market.

Valuers often comment on:

• Future upgrade costs
  
• Impact on rental demand
  
• How buyers and tenants may react
  

This helps valuations stay relevant as regulations tighten.

EPC regulations are closely tied to sustainability, and for most buildings, improving an EPC rating means working with what is already there rather than starting from scratch. This usually involves retrofit work, which is rarely simple and often comes with trade-offs between cost, energy performance, and the level of disruption involved. Surveyors are frequently brought in to help clients understand these trade-offs and set realistic expectations about what can and cannot be achieved.

Having a working knowledge of sustainable construction methods in property helps keep these conversations practical and grounded. In some cases, particularly on commercial projects, clients may look at modular or other modern construction methods as a more efficient way to meet energy standards, and understanding how modular construction in commercial property works makes it easier to explain when this approach is appropriate and when it is not.

Most clients raise the same EPC questions, usually because they are worried about doing the wrong thing or missing something important. Surveyors are often the first people they turn to for reassurance.

One of the most common questions is whether a property could become illegal to rent. In many cases, the answer depends on the EPC rating and whether minimum standards apply to that type of property. If a building falls below the required rating and no exemption is in place, it may not be lawful to let it. Explaining this early helps clients understand the risk without creating panic.

Clients also ask how much EPC improvements might cost. There is no fixed price, as costs vary depending on the building, the type of work needed, and how far the rating needs to improve. What matters most is explaining the range of likely options and which improvements are more realistic than others.

Another common question is whether to act now or wait. For many clients, waiting feels safer, but it can lead to rushed decisions later. Surveyors can add real value by explaining the likely direction of EPC regulations and helping clients plan gradual improvements rather than last-minute fixes.

Exemptions often come up as well. Clients want to know if they offer a long-term solution. In reality, most exemptions are temporary and evidence based. They can buy time, but they rarely remove the need to address energy performance altogether.

The most effective approach is simple honesty. Explain what is known, be clear about what is still uncertain, and outline the options available.

As EPC regulations become more detailed, manual reporting becomes harder.

Surveyors need to:

• Track compliance 
• Keep advice consistent 
• Update reports easily
  

Digital reporting tools help. GoReport allows surveyors to include EPC information, sustainability notes, and compliance commentary in one clear report.

If you want to see how this works, you can book a free GoReport demo.

What are EPC regulations?

EPC regulations set out when an Energy Performance Certificate is required and how energy efficiency affects whether a property can be sold or rented. In simple terms, they are designed to improve how energy-efficient buildings are and to reduce energy costs and carbon emissions over time.

What is the minimum EPC rating?

For most rented residential and commercial properties, the minimum rating is E. If a property is rated F or G, it usually cannot be legally let unless a valid exemption is in place.

Are new EPC regulations coming?

Yes, higher minimum standards are expected in the future. The exact dates and requirements have changed before and may change again, but the overall direction is clear: energy efficiency expectations are increasing, not decreasing.

Do EPC rules apply to owner-occupied property?

Owner-occupied properties are not restricted by minimum energy efficiency standards. However, an EPC is still required when the property is sold, and a low rating can affect buyer interest and value.

How do EPC regulations affect commercial property?

In commercial property, EPC ratings can directly affect value and lettability. A low rating may limit who can rent the building, reduce demand, shorten lease terms, and increase the cost of future upgrades. This creates real financial risk for owners and investors.

Can properties be exempt from EPC rules?

Some properties can be exempt, but exemptions are limited. They are usually time-limited, must meet specific criteria, and have to be registered correctly. Exemptions are not a permanent solution and should be treated with caution.

What is the surveyor’s role in EPC compliance?

Surveyors help clients understand risk, explain how EPC rules apply to a specific property, and flag issues early. They guide decision-making and planning, even if they are not qualified to produce EPCs themselves.