Scottish Government Sets 2026 Date for Overhaul of Energy Performance Certificate Regime

The Scottish Government has announced that it intends to bring the new Energy Performance of Buildings (Scotland) Regulations 2025 into force on 31 October 2026, replacing the existing 2008 regime.  The new regulations will introduce a modernised approach to energy performance certification (EPC) for both domestic and non-domestic properties in Scotland, with significant changes to rating systems, certificate validity, and compliance requirements. As a result, all EPCs issued under the 2008 Regulations will cease to be valid and a new EPC meeting the requirements of the 2025 Regulations will be required from October 2026 (subject to the specific transitional arrangements noted below)

Key Changes for Non-domestic properties

New EPC Rating Systems and Reports

A new rating system for non-domestic buildings will be introduced covering energy performance, energy use and direct emissions. The current Scottish EPC ratings system has received criticism in the past as it uses a different calculation methodology to the rest of GB, making direct comparisons with buildings south of the border more difficult^[1]. Whilst the change to the Scottish ratings system brings it more into line with that used in England and Wales, differences between the two regimes remain (most notably the lack of introduction by the Scottish Government of the minimum energy efficiency standards (or MEES) for non-domestic properties). 

Additionally, a new Property Report will accompany EPCs, outlining potential improvement measures, alternative heating options, and associated costs. 

Shortened Validity and Enhanced Oversight

EPC validity will be reduced from 10 years to 5 years, with the aim of ensuring availability of more current information for consumers. 

An enhanced level of oversight of EPC assessors and approved organisations is envisaged under the new regime with new accreditation requirements and the implementation of onsite audits. 

Continued and Updated Requirements

EPCs will remain mandatory for new constructions, sales, and new lettings, and must be displayed in certain large non-domestic buildings. Local authorities will continue as enforcement authorities, with penalty charges remaining at current levels. Scottish Ministers will retain powers to approve accreditation bodies and calculation methodologies, and to maintain the EPC Register. 

Transitional Arrangements 

The Scottish Government has indicated that the following transitional provisions will apply: 

General Property Transactions

A one-year grace period (31 October 2026 – 31 October 2027) will allow properties being sold or let to use either existing (2008) or new (2025) EPCs and reports. If a property is sold or let again within the grace period, a new style EPC will be required for subsequent transactions. After 31 October 2027, only EPCs issued under the new regulations will be valid for sales and lettings. 

Short Term Lets

Short term let properties, which are often continuously advertised, will have a full one year grace period to obtain a new style EPC. After 31 October 2027, only new style EPCs will be accepted for short term lets. 

Large Non-Domestic Buildings

Buildings required to display an EPC to the public can continue to use existing EPCs until their expiry or until 31 October 2031, whichever comes first. After 31 October 2031, all such buildings must display a new style EPC. 

New Construction

Developers must provide a new style EPC and Property Report to building owners within seven days of submitting a completion certificate for buildings completed on or after 31 October 2026. 

Conclusion

The new regulations aim to provide clearer, more actionable information on building energy performance, support Scotland’s climate goals, and reduce an element of  confusion in the property market when comparing ratings north and south of the border. Further guidance from the Scottish Government is expected in due course but in the meantime, those impacted should prepare for the upcoming changes.

[1] The Scottish non-domestic EPC rating is currently based on absolute emissions intensity (CO2e/m2/year). In the rest of the UK, the non-domestic EPC rating is based on the building’s emissions intensity compared to a reference building. The reference building is a type, size and layout, which is built to a specified standard. This means the rating system compares buildings against others of the same category.