The British Property Federation’s (BPF) annual analysis of EPC ratings in major cities across England finds that 81% of commercial buildings have an EPC below B. 

The latest research shows that progress is being made, but it is slow and being hampered by what it calls the ongoing failure of government to respond to the 2021 consultation on future minimum energy efficiency standards.

The BPF’s analysis looked at commercial buildings across all asset classes in London, Birmingham, Bristol, Leeds, Liverpool, Manchester and Newcastle and shows that 3% of commercial buildings have an EPC rating of A and a further 16% have an EPC rating of B.  

Manchester continues to lead the way with 22% of its commercial buildings securing an EPC rating of A or B, followed closely by London at 21%.

The latest analysis shows that across the seven major cities there has been a one or two percentage point increase in the number of commercial buildings securing an EPC rating of B.

The federation says that this highlights that while progress is happening, the pace is very slow and millions of sq. m. of office, retail and industrial space is at risk of becoming obsolete unless government provides urgent clarity on future regulations. 

The 2021 consultation on minimum energy efficiency standards sought views on a target of EPC C by 2027 and EPC B by 2030.

Industry had hoped a response to the consultation would be published as part of the recent Warm Homes Plan.

However, the BPF accused the government of failing to respond, which means that the 2027 and 2030 targets are now “completely unrealistic.”

The BPF is urging the government to publish a response without further delay to give the real estate industry sufficient time to make investment decisions and ensure the regulations are implemented effectively.

Rob Wall, assistant director at the federation, says: “The Warm Homes Plan has left commercial landlords in the dark and out in the cold.

“We have been waiting for five years for a decision on future minimum energy efficiency standards for the non-domestic private rented sector.

“It is beyond belief that ministers have kicked the can down the road once again.”