This clause requires the building to have an Energy Performance Certificate (EPC), which is an official rating (A-G, with A being most efficient) showing how much energy the building uses for heating, cooling, and lighting. In the UK and EU, this certificate is legally required whenever a building is sold or rented, and it helps you understand your future heating and electricity costs. A low rating (D, E, F, or G) means high bills and poor insulation; a high rating (A, B, or C) means lower running costs. This matters because energy costs can be £2,000-£5,000+ per year, so the rating directly affects your wallet.
Get the EPC rating in writing before signing and ask the landlord what the actual annual energy bills were for the past two years—the certificate is just an estimate. If the rating is D or lower, negotiate either a lower rent to offset high bills, or ask the landlord to commit to specific energy improvements (like insulation or new windows) before you move in. ---
Frequently Asked Questions
What does this clause mean in simple terms?
This clause requires the building to have an Energy Performance Certificate (EPC), which is an official rating (A-G, with A being most efficient) showing how much energy the building uses for heating, cooling, and lighting.
Why should I care about this clause?
In the UK and EU, this certificate is legally required whenever a building is sold or rented, and it helps you understand your future heating and electricity costs.
What are my options?
A low rating (D, E, F, or G) means high bills and poor insulation; a high rating (A, B, or C) means lower running costs.
How does this affect small businesses?
This matters because energy costs can be £2,000-£5,000+ per year, so the rating directly affects your wallet.