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Commercial EPC: A complete guide for UK businesses

What is a commercial EPC?

A commercial EPC is an official document that rates the energy efficiency of a non-domestic building on a scale from A (most efficient) to G (least efficient). This Energy Performance Certificate (EPC) is a legal requirement for any property in England, Wales, or Northern Ireland that is being sold, rented, or newly constructed. It gives business owners, tenants, and buyers clear information about energy use, carbon emissions, and recommended improvements. These insights help reduce running costs and support better environmental performance across the commercial property market.

Commercial EPCs are carried out by accredited assessors who use specialist software and site inspections to calculate a property’s energy performance. The assessment is based on how the building is constructed and how energy systems are installed. It does not take into account how the current occupiers choose to use the building.

When do you need a commercial EPC?

You need a commercial EPC whenever a non-domestic property is being marketed for sale or rent, or when a new building is completed. This applies to shops, offices, warehouses, restaurants, factories, schools, hospitals, and mixed-use developments. From April 2025, landlords must have a valid EPC in place for any property that is let, and expired certificates must be renewed even if no lease activity is taking place. 

There are some exemptions. Listed buildings may be exempt if insulation or other energy upgrades would damage their architectural character. Places of worship and certain temporary structures can also be excluded. However, the majority of commercial buildings in the UK require a current certificate.

What does a commercial EPC show?

A commercial EPC displays the current energy efficiency rating of your building, estimated annual energy costs, and associated carbon dioxide emissions. It also includes:

  • An asset rating based on the building fabric and mechanical services;
  • A benchmark rating for similar building types;
  • Suggested improvements and how they would increase your EPC rating; and
  • Guidance on the payback period for each recommendation.

These recommendations are tailored to the property. For example, a warehouse may benefit most from improving lighting efficiency, while an office block might see the biggest gains from heat pump upgrades or external wall insulation. The aim is to help building owners target cost-effective investments.

How long does a commercial EPC last?

A commercial EPC is valid for 10 years. You can reuse the same certificate during this period unless major structural changes or refurbishments significantly affect the building’s energy performance. If your EPC expires while the property is being marketed or tenanted, you must arrange a new assessment to remain compliant. Because regulations are tightening, many landlords choose to update older EPCs early to reflect any improvements they have already made.

What are the legal requirements for landlords and property owners?

It is a legal requirement to hold a valid commercial EPC before selling or renting a non-domestic property. Local authorities can issue fines ranging from £5,000 to £150,000 for non-compliance, depending on rateable value. 

Under the Minimum Energy Efficiency Standards (MEES), most rented commercial buildings are required to achieve an EPC rating of E or above. The UK Government has announced plans for:

  • Minimum EPC rating C for all new leases from 2027.
  • Minimum EPC rating B for all leased commercial properties by 2030.

These changes will affect the majority of older properties, particularly those with ageing heating systems or insufficient insulation. Planning upgrades now can help minimise disruption and protect future income streams.

How much does a commercial EPC cost?

The cost of a commercial EPC depends on the size, complexity, and intended use of the building. Prices typically start from around £150 for small retail units and rise for large premises such as shopping centres or office complexes. Factors such as multiple heating zones, mezzanine floors, or on-site renewable energy systems can increase assessment costs. 

Why commercial EPC ratings matter

Commercial EPC ratings are becoming a critical part of property management and investment. They influence:

  • Attractiveness to tenants and buyers;
  • Operational energy bills and carbon reduction goals;
  • Asset value and long-term return on investment;
    Planning for future regulatory changes; and
  • Eligibility for grants and green financing.

In a competitive market like the UK, many organisations now use EPC ratings as part of their corporate sustainability credentials. A stronger rating shows a commitment to energy saving and reduces exposure to rising energy costs.

Who benefits from a commercial EPC?

A commercial EPC benefits everyone involved in owning, operating, or occupying a building. Key groups include:

  • Business owners aiming to reduce running costs;
  • Landlords improving property value and compliance;
  • Estate agents and surveyors supporting marketing activities;
  • Developers and builders delivering regulatory standards;
  • Tenants seeking predictable and efficient premises; and
  • Public authorities upgrading local infrastructure.

Clear and accessible energy data enables smarter decision-making at every stage of a property’s life cycle.

Can you improve your rating?

Yes, a commercial EPC rating can be improved by installing energy efficiency upgrades. Popular upgrades include:

  • Wall and roof insulation;
  • New energy-efficient HVAC systems;
  • Heating controls and building automation;
  • LED lighting upgrades; and
  • Solar panels and other renewable technologies.

These measures reduce energy consumption and create more comfortable indoor environments. Many improvements offer strong payback times, especially in buildings with high heating or lighting demands.

Stay compliant and improve your property value

A commercial EPC is more than a legal requirement. It is an essential part of managing energy performance and protecting the long-term value of your property portfolio. Improving your EPC rating can lower energy bills, reduce emissions, and future-proof your building against upcoming regulatory changes.