MEES Exemptions Explained: The PRS Exemptions Register

If a commercial building genuinely cannot be improved to EPC E cost-effectively, you may let it lawfully by registering a valid exemption on the PRS Exemptions Register. Exemptions cover specific cases, such as all relevant improvements having been done, refused third-party consent, or works that would devalue the property, and they must be evidenced, not merely asserted. Most are time-limited to five years, after which you have to try again. This is a backstop for genuinely unimprovable buildings, not a planning strategy for avoiding works.

That framing matters, because exemptions are widely misunderstood at both extremes. Some owners assume they can register one to sidestep spending money; others do not realise the option exists and panic at a sub-E rating. This guide sets out who genuinely qualifies, what evidence is needed, how long an exemption lasts, and why the improvement route is usually the better bet.

What the exemptions are for

The Minimum Energy Efficiency Standard requires that, in general, a commercial building must reach EPC E before it can be let. The law recognises that a small number of buildings cannot reasonably meet that standard, so it provides registrable exemptions rather than forcing impossible or ruinous works.

The important word is genuinely. An exemption is a legal shield for a building that cannot be improved cost-effectively, not a form you file because works are inconvenient. Each exemption has defined qualifying grounds and each must be supported by evidence and registered on the PRS Exemptions Register{rel=“noopener”} before you rely on it.

The main non-domestic MEES exemptions

The exemptions below are the ones commercial landlords encounter most. The detail sits in the non-domestic MEES landlord guidance{rel=“noopener”}, and the qualifying grounds are specific.

Exemption	Applies when	Typical duration
All relevant improvements made	Every cost-effective measure has been carried out and the building is still below E	5 years
Seven-year payback	No relevant improvement pays for itself in energy savings within seven years	5 years
Third-party consent refused	A tenant, superior landlord, planning authority or lender has refused consent for a measure	5 years, or until consent circumstances change
Devaluation	An independent surveyor confirms a measure would reduce the property’s market value by more than 5%	5 years
New landlord (temporary)	You have recently become the landlord in defined circumstances	6 months

Two points are easy to miss. The seven-year payback test is a genuine flexibility mechanism, retained under the current rules, that recognises some measures simply do not pay back quickly enough to be reasonable. And the “all relevant improvements made” ground still requires you to do the cost-effective works first, it is not an exemption from trying, it is an exemption for when trying has been exhausted.

What evidence you need

An exemption is only valid once it is properly evidenced and registered. Registering without the supporting evidence, or on grounds that do not genuinely apply, does not protect you, and the register is a self-certification system that can be checked.

Broadly, you should expect to hold and, where required, upload:

• A valid EPC for the building showing the sub-E rating.
• Evidence of the improvements considered and, where relevant, carried out, including quotes or the recommendation report.
• For the seven-year payback ground, the calculation showing no relevant measure pays back within seven years.
• For refused consent, written evidence of the request and the refusal from the third party.
• For devaluation, a report from an independent qualified surveyor confirming the impact on value.

The theme is consistent: the exemption has to be justified with documents a Local Weights and Measures Authority could examine, not simply claimed.

How long an exemption lasts, and what happens next

Most exemptions last five years. A few, such as the temporary exemption for a newly-appointed landlord, are far shorter, at six months. The consent-based exemption can fall away sooner if the circumstances change, for example if a tenant who refused consent leaves.

When an exemption expires, it does not renew automatically. You have to reassess the position and either carry out improvements to reach the standard or, if the building still genuinely qualifies, evidence and register a fresh exemption. This is the practical reason exemptions are a poor long-term strategy: you are committing to revisit the same problem every few years, with the compliance risk sitting on you throughout, rather than resolving it once with a modest improvement package.

Why improving usually beats registering

For most sub-E commercial buildings, doing the works is cheaper, simpler and less risky than leaning on the register. Three reasons stand out.

First, cost. The measures that lift a typical F or G building over the E line, LED lighting with controls, heating upgrades, insulation, are often modest, and some qualify for support such as the Boiler Upgrade Scheme{rel=“noopener”} for low-carbon heating. Our guide on being rated F or G and how to fix it sets out the usual quick wins, and our grants and funding routes page covers what applies.

Second, risk. An exemption is only as good as its evidence, and a wrongly-registered one leaves you exposed to MEES penalties tiered on rateable value up to a maximum of £150,000, and to being publicly named. An improved rating carries no such tail.

Third, the direction of travel. The standard is rising, not falling. Privately let non-domestic buildings over 1,000 square metres are proposed to reach EPC B by 2031, per the government interim response{rel=“noopener”}. A building you keep on life support with repeated exemptions today may face a much higher bar tomorrow. Improving now, on your own timetable, is the lower-risk path. Our guide to what EPC B by 2031 means explains who that uplift catches.

Exemptions are the right tool for a genuinely unimprovable building. For everything else, treat them as the backstop they are.

Common questions

Can I register an exemption just because the works are expensive?

Not on cost alone. Expense is only relevant through defined mechanisms, the seven-year payback test, or the “all relevant improvements made” ground once cost-effective measures are exhausted. You cannot register an exemption simply because you would prefer not to spend, or because a single expensive measure is off-putting while cheaper measures remain undone. The grounds are specific, and each needs evidence a regulator could scrutinise.

My tenant won’t let me carry out the improvements. Am I exempt?

Potentially, under the refused third-party consent ground, but only with proper evidence. You would need written proof that you requested consent for the relevant measure and that the tenant, or another required party such as a superior landlord or lender, refused it. The exemption then typically lasts up to five years or until the consent position changes, for instance when that tenant leaves, at which point you must revisit the works.

Does an EPC exemption mean I don’t need an EPC at all?

No, and these are two different things that are often confused. Being exempt from needing an EPC (a narrow set of cases such as certain listed buildings, places of worship or very small standalone buildings) is separate from registering a MEES exemption to let a sub-E building. A MEES exemption assumes you have a valid EPC showing the sub-E rating in the first place. Being exempt from an EPC is not the same as being exempt from MEES.

Not sure whether you qualify?

Whether an exemption genuinely applies, or whether a modest improvement package is the cheaper, safer route, usually becomes clear once someone has assessed the building and its options. The starting point is an accurate, accredited rating and the EPC’s own recommendation list. To get a firm quote for a commercial EPC assessment and a clear read on your compliance position, request a free commercial EPC quote and we will tell you honestly whether to improve or register.