MEES exemptions let landlords legally rent a property rated below EPC band E. The Minimum Energy Efficiency Standards (MEES) apply to domestic private rented properties in England and Wales. Since April 2020, it has been unlawful to continue letting a property with an EPC rating of F or G unless a valid exemption is registered on the PRS Exemptions Register.
An exemption does not mean you can ignore energy performance permanently. It acknowledges that, in specific circumstances, reaching band E is not currently possible or reasonable. You must register the exemption yourself; it is not granted automatically.
To apply, you need to be the landlord of a domestic privately rented property in England or Wales that has a valid EPC showing a rating of F or G. Social housing is excluded from MEES. Scotland and Northern Ireland have separate regulatory frameworks.
Who cannot use an exemption?
If your property already holds an EPC of E or above, MEES does not restrict you and no exemption is needed. Owner-occupied homes are outside the scope of MEES entirely. If you have not yet obtained an EPC, you must get one before you can determine whether an exemption applies.
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Common questions
Frequently asked questions
Can I register more than one MEES exemption at the same time?
Each exemption needs evidence and has its own duration. Most last five years, but qualifying new-landlord relief lasts six months and tenant-consent relief can end sooner.
Does a MEES exemption transfer to a new owner?
No, exemptions are personal to the landlord who registered them. A new owner must comply with MEES independently or register their own exemption with fresh evidence.
What is the maximum penalty for not having a valid exemption?
Currently £5,000 per property.
Do MEES exemptions apply in Scotland?
These domestic private rented MEES rules apply in England and Wales. Check the separate requirements for a property in Scotland rather than assuming the same standard or exemptions apply.
Will the £3,500 cost cap change?
The government has proposed raising the cost cap to £10,000 as part of future policy to require EPC C equivalent by 1 October 2030. This is not yet law. The current cap remains £3,500 until regulations are formally amended.
Check if you qualify
Answer a few quick questions to see which government energy grants you're eligible for. Free, instant results.
Six categories of exemption exist under the current regulations. Each addresses a different barrier to reaching band E.
1. All relevant improvements made exemption
This is the most commonly discussed route. You must show that you have made all "relevant energy efficiency improvements" that can be installed for £3,500 or less (including VAT), and the property still does not reach band E. Relevant improvements are those recommended on the property's EPC or a Green Deal assessment.
Illustrative example (hypothetical figures for budgeting only): Suppose an EPC recommends loft insulation at an assumed cost of £1,200 and cavity wall insulation at an assumed cost of £2,000. The combined assumed total of £3,200 falls within the £3,500 cap, so both measures would need to be installed. If the property still rates F after both, you could register this exemption with the installation evidence and updated EPC.
High cost exemption
If even the cheapest recommended measure exceeds £3,500 including VAT, this separate route requires three installer quotes and written confirmation of the cost.
2. Consent exemption
If a required improvement needs consent from a third party and that consent has been refused or given with unreasonable conditions, you can register a consent exemption. Third parties include tenants (for measures that affect their living space), superior landlords, planning authorities or mortgage lenders. Keep evidence of reasonable efforts to obtain consent. Tenant-consent relief can end when that tenancy ends or is assigned, rather than lasting the full five years.
3. Devaluation exemption
Where an independent surveyor on the Royal Institution of Chartered Surveyors (RICS) register provides a written opinion that a recommended improvement would reduce the market value of the property by more than 5%, you can register a devaluation exemption. This is relatively uncommon but can apply where, for example, external wall insulation would materially alter a period property's character.
4. New landlord exemption
Only specified new-landlord circumstances qualify. Register promptly: the six-month period runs from becoming the landlord, not from registration. Buying a property is not a universal automatic grace period.
5. Wall insulation exemption
This applies where the only recommended improvement is a type of wall insulation (cavity, external or internal) and a relevant expert has provided written advice that the insulation is not suitable for the property. Reasons might include structural risk, damp concerns or the building's construction type.
How Much Does It Cost to Register an Exemption?
Registering on the PRS Exemptions Register itself is free. The costs arise from the evidence you need to gather.
For the cost cap exemption, you will have spent up to £3,500 on improvements before registering. For the devaluation exemption, you need a RICS surveyor's report, which typically involves a professional fee. For the consent exemption, you need documented correspondence. The wall insulation exemption requires a written expert assessment.
There is no government fee for the registration, but you should budget for the professional evidence each route demands. Keep all receipts, reports and correspondence; local authorities can request proof at any time.
What Happens If Your Exemption Is Rejected or Expires?
Local authorities enforce MEES and can check the register. If your evidence is insufficient, the exemption may not protect you from a penalty.
The current maximum penalty for renting a non-compliant property is £5,000 per property. Penalties are issued by the local authority and can include a publication penalty (your details on a public register for at least 12 months) alongside a financial penalty.
When your exemption expires, you must reassess the property. If it still rates F or G, you need to attempt improvements again and, if the property still cannot reach band E, register a fresh exemption with new evidence. You cannot simply renew the old one.
Future policy changes
The government has consulted on raising the minimum standard to EPC C equivalent by 1 October 2030, with a proposed new cost cap of £10,000. These are future policy proposals, not current law. If enacted, the exemption framework would change significantly. Landlords should monitor GOV.UK guidance for updates, but current compliance obligations remain at band E with a £3,500 cap.
When an Exemption Is Not the Best Answer
An exemption is a temporary pause, not a permanent solution. In many cases, making improvements is more cost-effective over time than cycling through five-year exemptions, especially with grant funding available.
Grants that can reduce your upgrade costs
ECO4 runs until 31 December 2026 and can fund insulation and heating measures for eligible households. Eligibility depends on the property's EPC rating, the tenant's circumstances and the measures recommended. For private rented homes, GOV.UK specifies EPC E, F or G as a qualifying criterion, though other conditions also apply. ECO4 Flex, delivered through local council referrals, may offer additional routes but is not guaranteed funding. See Ofgem's ECO4 guidance for details.
Warm Homes Local Grant covers England only and targets private homes rated EPC D to G, usually where household income is at most £36,000. Qualifying benefits or postcodes can provide alternative routes. A landlord may be asked to contribute. Council surveys and available funding determine which improvements are offered. A national application portal exists at GOV.UK. Funding delivery runs to March 2028.
For properties where a heat pump or other low-carbon heating system is appropriate, the Boiler Upgrade Scheme (BUS) offers £7,500 for air-to-water or ground-source heat pumps in England and Wales, with an additional uplift to £9,000 for off-gas-grid properties replacing oil or LPG (available until March 2027). BUS funding is confirmed through fiscal year 2029/30. Eligibility requires property ownership and an MCS-certified installer; most new builds and social housing are excluded.
Installed energy-saving materials currently qualify for zero-rate VAT through 31 March 2027, after which the rate is scheduled to rise to 5%.
How Long Does a MEES Exemption Last?
Most MEES exemptions last five years, but there are exceptions. After five years, the exemption lapses automatically. You cannot renew it; you must reassess and, if necessary, re-register with fresh evidence.
The new landlord exemption is shorter: it lasts six months, giving you time to either improve the property or register another applicable exemption.
If you sell the property, exemptions do not transfer to the new owner. The buyer must comply independently or register their own exemption.
Practical steps before your exemption expires
Commission a new EPC at least three months before expiry.
Review whether grant funding has become available since you last checked.
Get quotes for any recommended measures, comparing them against the £3,500 cost cap.
If the property still cannot reach band E within the cap, gather fresh evidence and re-register.
Keeping records organised throughout the five-year period makes re-registration much simpler. Local authorities can audit your exemption at any point, not only at renewal.