Three in five UK commercial properties has low energy performance

English street

Recent research by real estate solutions provider Property Inspect has revealed that around 60% of commercial properties in the UK hold an Energy Performance Certificate (EPC) with a rating of D or below, placing them in the lower level of energy efficiency.

While the minimum requirement is an E, and properties within the A-E range represent 87% of all properties, a D or below is still deemed to be low energy performance by the government’s standards.

Corporate property stock is worst in the West Midlands, where only 37.98% of buildings are high-performing, and best in the East of England, where 48.8% of properties have a C or above rating.

Region % of EPCs at C+
West Midlands 37.98%
East Midlands 38.38%
Yorkshire 39%
North East 39.20%
North West 39.42%
Wales 39.92%
South West 41.36%
London 42.11%
South East 45.22%
East of England 48.80%

The 10 worst-performing locations for non-domestic properties

Property Inspect’s study analysed each individual local authority in England and Wales to identify the best and worst performers for non-domestic properties:

Local Authority Region % of Non-domestic EPCs above C
Nottingham East Midlands 32.52%
Conwy Wales 32.58%
Leicester East Midlands 33.11%
Dudley West Midlands 33.21%
Sandwell West Midlands 33.43%
Darlington North East 33.63%
Powys Wales 33.68%
Ceredigion Wales 33.84%
Kensington and Chelsea London 33.87%
Torfaen Wales 33.93%

 

Warrick Swift, Commercial Director of Property Inspect, commented on the findings: “With the majority of companies now moving to a hybrid working model, commercial property is experiencing an unprecedented shift in the way people use it.

“Because of this, and the evidence suggesting that employers will need to focus on sustainability as part of staff retention, it’s vital that investors and landlords of commercial property consider ways they can improve their stock and better serve the businesses who use it.

“Consistently, the value and volume of new construction work is double that of repair and maintenance but, as the country aims to reach net zero in less than 10 years, the focus will need to move toward sustainable refurbishment.

“While new commercial property should aim to create better-performing workplaces, it’s clear that the UK’s current stock of commercial property is in need of reform if the country is going to meet its climate goals.”

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