2025 MEES Consultation; what is the Government proposing?

Government proposes raising MEES in PRS to improve energy efficiency, tackle fuel poverty, and lower emissions.

The Government is consulting on raising the minimum energy efficiency standard (MEES) in the residential private rented sector (PRS).  The stated aim in proposing to raise energy efficiency standards in the domestic PRS is threefold, in that the Government wants to make homes easier to heat, tackle fuel poverty and lower carbon emissions. 

The proposed change to MEES

Against a backdrop of intended reform to the EPC regime scheduled for 2026, which would introduce new metrics against which a building would be assessed, if the Government’s preferred approach is adopted, landlords would be required to achieve a standard involving similar improvement measures as achieving an EPC rating of C on current EPCs. The requirement at present, which has been in place since 2018, is for properties to have an EPC rating of E or above.  The change to the MEES for properties in the PRS would be significant.

The revised MEES would apply to new tenancies granted from 2028 and all tenancies would need to be compliant by 2030.

Other key proposals

The consultation also contains a number of other proposals including:

• A cap of £15,000 per property on the costs of landlord’s improvements to meet the new standard, following which a 10 year exemption could be registered permitting the continued letting of the property if it then remains sub-standard;

• Whether to introduce an affordability exemption to lower the cap to £10,000 for some properties;

• Expanding the remit of the regulations governing MEES to include short-term lettings (for example holiday lets) to ensure consistency between privately rented homes and such short-term lets;

• Introducing regulatory measures designed to increase installation of smart meters; and

• Reform of exemptions regime for the MEES regulations.

What does this mean for landlords?

Whilst there is no doubt that the proposals are step in the right direction towards achieving the Government’s net zero target, they will have a significant impact on landlords operating within the PRS.  The stricter MEES may well require substantial investment in improvements to property portfolios and landlords will need to ensure that they take note of new deadlines, and plan ahead, in order that they can be met. 

Next steps

The consultation closes on 2 May 2025.  Interested parties are encouraged to provide their feedback and responses can be registered by visiting the following page: Improving the energy performance of privately rented homes in England and Wales - 2025 update - Department for Energy Security and Net Zero - Citizen Space