As a seasoned Building Consultant, I’ve witnessed first-hand the dynamic nature of the UK’s commercial property sector for many decades now.  Our profession is continually evolving, responding to shifts in market trends, technological advancements, and, of course, legislative changes. More recent alterations to commercial property legislation in the UK are no exception and have prompted a plethora of adaptations within our field.

Background

Building consultancy in the UK has a rich history, with roots dating back to the Industrial Revolution. Our role in the commercial property sector is multifaceted, encompassing everything from property valuation and building surveys to project management and dispute resolution. We are the bridge between legislation, construction, and business, ensuring that commercial properties meet the necessary standards and regulations.

Overview of the ‘New’ Legislation

The changes to commercial property legislation in the UK are some of the most significant we’ve seen in recent years. The headline new laws, primarily focus on environmental standards, tenant rights, and building safety.

The first significant change was the introduction of the Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015, which set minimum energy efficiency standards for commercial properties. Under these regulations, landlords of commercial properties with an Energy Performance Certificate (EPC) rating of F or G were prohibited from renewing existing tenancies or granting new tenancies. This legislation aimed to reduce carbon emissions from commercial buildings, which account for a significant proportion of the UK’s total emissions.

A second big change was the introduction of the Tenant Fees Act in 2019, which limits the fees that landlords and letting agents can charge to tenants.

The third, and perhaps most significant piece of legislation, was the introduction of the Building Safety Act, which was granted Royal Assent on 28 April 2022 aiming to improve building and fire safety in residential buildings. The Act introduces a new regulatory framework for the construction and management of buildings.

Impact on the Building Consultancy Profession

These legislative changes have, as always, had a profound impact on our profession. We must always ensure we adjust our practices to ensure compliance with the new standards.  Environmentally, this means we must complete more rigorous energy efficiency assessments and help Clients with the implementation of more sustainable building practices. The enhanced tenant rights have also necessitated a shift in our approach to lease advisory services. Furthermore, the new building safety regulations have led to even more comprehensive building surveys and increased our role in risk management.

Adaptation Strategies

At Projectsure, we’ve taken proactive steps to adapt to these legislative changes. In response to the Minimum Energy Efficiency Standard (MEES) we launched a new sustainability consulting programme. (This forms part of our ‘Going Green Gradually’ solution).  Dedicated to helping our clients improve the energy efficiency of their properties, we’ve invested in additional assessment tools and trained our team in the latest energy-saving techniques. As a result, we’ve been able to help numerous clients improve their EPC ratings and comply with the new regulations.

As with all new legislations,  when the Tenant Fees Act hit the books in 2019, we’d already conducted a thorough review of our practices to ensure they were compliant with the Act. We also developed a comprehensive guide, helping them understand the changes and their implications. This proactive approach has been well received by our clients, who appreciate the clarity and guidance we’ve provided.

Finally, we’re up and running with the changes to building and fire safety regulations. We’ve consulted with other legal experts and industry leaders to fully understand the potential implications of the Bill and reviewed our building survey practices to ensure they’re fully compliant with the new regulatory framework.

These actions demonstrate our commitment to staying ahead of legislative changes and ensuring our clients receive the most accurate and relevant advice. We believe that by embracing these changes and innovating our services, we can continue to provide valuable, compliant advice to our clients.

Conclusion

The recent changes to commercial property legislation in the UK have undoubtedly presented challenges for the building consultancy profession. However, as we’ve demonstrated throughout our history, we are more than capable of adapting to these changes. By embracing the new legislation, investing in training, and innovating our services, we can continue to provide valuable, relevant, and compliant advice to our clients.

As a business decision-maker with multiple retail properties, it’s crucial to understand these changes and their implications for your properties. Feel free to contact me directly for more information. Together, we can navigate this new landscape and ensure the continued success of your retail properties in the UK.

Citations

[1] Minimum Energy Efficiency Standard (MEES) which came into force in England and Wales on 1 April 2018: https://www.ricsfirms.com/glossary/minimum-energy-efficiency-standard/

[2] Tenant Fees Act 2019. Available at: https://www.gov.uk/government/collections/tenant-fees-act

[3] Building Safety Act 2022 . Available at:https://www.gov.uk/guidance/the-building-safety-act