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East Midlands Energy Efficiency

How do I fund MEES improvements to a domestic property?

The Government has provided the following guidance for landlords explaining a number of funding options for improvements to dwellings under the Minimum Energy Efficiency Standards.

The cost cap: you are not currently required to spend more than £3,500 (including VAT) on energy efficiency improvements to meet the MEES.

If you cannot improve your property to EPC E for £3,500 or less, you should make all the improvements which can be made up to that amount, then register an ‘all improvements made’ exemption on the PRS Exemption Register.

There are 3 ways to fund the improvements to your property:

If you are able to secure third-party funding to cover the full cost of improving your property to EPC E, you can use this and you don’t need to invest your own funding:

  • the cost cap does not apply
  • you should make use of all the funding you secure to get your property to band E, or if possible higher.


Funding can include:

  • Energy Company Obligation (ECO)
  • local authority grants
  • Green Deal finance

If you can secure third-party funding but it is less than £3,500, and not enough to improve your property to EPC E you may need to top up with your own funds to the value of the cost cap.

Please note:

  • you can count any energy efficiency investment made to your property since 1 October 2017 within the cost cap
  • if your property can be improved to E for less than the cost cap, that is all you need to spend

If you are unable to secure any funding, you need to use your own funds to improve your property. You will never need to spend more than the cost cap.

You do not need to spend up to £3,500 if your property can be improved to EPC E for less.  If you can improve your property to E for less than the cap, you will have met your obligation.

If it would cost more than £3,500 to improve your property to E, you should install all recommended measures that can be installed within that amount, then register an exemption on the PRS Exemption Register.

If you have made any energy efficiency improvements to your property since 1 October 2017, you can include the cost of those improvements within the £3,500 cost cap.