1. Introduction

The Scottish Government is progressing a significant reform of the Energy Performance Certificate (EPC) regime. These changes are intended to modernise how building energy performance is assessed and presented, improve data quality, and support Scotland’s wider heat in buildings and net zero objectives. For owners and occupiers of non-domestic property, the reforms are particularly relevant due to changes in EPC validity, transitional arrangements, and future expectations around compliance and portfolio management.

2. Legal status and parliamentary process

The reforms are being delivered through the draft Energy Performance of Buildings (Scotland) Regulations 2025. These Regulations were laid before the Scottish Parliament on 10 October 2025 and are subject to the affirmative procedure. Under this process, the Regulations cannot be made unless they are approved by resolution of the Scottish Parliament.

Parliamentary scrutiny has been led by the Local Government, Housing and Planning Committee, which took evidence from Scottish Ministers and published a report recommending approval of the draft Regulations. Scottish Government publications state an intended commencement date of 31 October 2026.

3. Important note on certainty and change

While the overall policy direction is clear and the Regulations are progressing through Parliament, it is important to recognise that the draft Regulations are not yet made law. As with any affirmative instrument, elements of the final Regulations, associated statutory guidance, and technical detail may still be refined before they are formally made. Non-domestic owners and practitioners should continue to monitor gov.scot and legislation.gov.uk for the made Regulations and any supporting guidance.

4. Key questions for non-domestic property

4.1 Is this definitely coming in?

The Regulations have been laid before Parliament and are well advanced in the legislative process. Government publications consistently describe the reforms as coming into force on 31 October 2026. However, legal certainty is achieved only once Parliament has approved the instrument and Ministers have formally made it. At present, there is no indication that the Regulations will be withdrawn or delayed.

4.2 Are non-domestic EPC ratings changing and how will they change?

Yes. The Scottish Government has confirmed that non-domestic EPCs will be issued under a revised regime. Although much public commentary has focused on domestic EPC changes, the non-domestic system will also be updated. Government research indicates that the intention is to modernise the methodology and certificate format, providing clearer and more consistent measures of energy performance that better support investment and decarbonisation decisions.

4.3 What is the transitionary period?

The draft Regulations provide for a transitionary period from 31 October 2026 to 31 October 2027. During this period, existing EPCs issued under the 2008 Regulations may continue to be used for certain sales and lettings, alongside new-style EPCs issued under the reformed regime. After the transitionary period ends, only EPCs issued under the 2025 Regulations are expected to be acceptable for most transactions.

4.4 How long will non-domestic EPCs be valid for?

A headline reform is the reduction of EPC validity from ten years to five years for both domestic and non-domestic buildings. This change is intended to ensure that EPC information remains more current and reflective of actual building performance. For non-domestic portfolios, this shorter validity period has implications for compliance planning and cost forecasting.

4.5 Will a non-domestic EPC issued in 2024 still be valid?

A non-domestic EPC issued in 2024 may remain within its original ten-year validity period. However, following the introduction of the new Regulations and the end of the transitionary period, such certificates may no longer be acceptable for certain legal triggers, such as sale or letting. Owners should therefore plan to commission new-style EPCs ahead of key transactions occurring after October 2027.

5. Affirmative instrument parliamentary timetable

Key milestones in the parliamentary process for the draft Regulations include:

• 10 October 2025 – Draft Regulations laid before the Scottish Parliament.
• October–November 2025 – Scrutiny by the Local Government, Housing and Planning Committee.
• 27 November 2025 – Committee report published recommending approval.
• 2026 – Parliamentary approval and making of the Regulations (pending).
• 31 October 2026 – Intended commencement date stated in government publications and draft legislation.

6. Practical implications for non-domestic owners

Interaction with Section 63 Action Plans (Non-Domestic)

The EPC reforms do not replace Section 63 of the Climate Change (Scotland) Act 2009, but they are expected to interact closely with it. Section 63 Action Plans are triggered by EPCs for larger non-domestic buildings and require owners to set out improvement or monitoring actions.

Key anticipated impacts include:

• EPC refresh cycle: With EPC validity reducing to five years, Section 63 triggers may occur more frequently, increasing the need for ongoing compliance management rather than one-off reporting.

• Evidence quality: Updated EPC methodologies are intended to provide clearer and more robust performance data, which may strengthen the technical basis for Action Plan recommendations and implementation routes.

• Timing risk: Buildings relying on older EPCs for Section 63 compliance may need to align Action Plan reviews with the transition to new-style EPCs to avoid duplicated work.
• Strategic alignment: Owners with existing or planned

Action Plans should consider aligning EPC reassessment, improvement works, and capital planning to minimise rework and ensure consistency across compliance documents.

While detailed guidance on the interaction between the reformed EPC regime and Section 63 has not yet been finalised, non-domestic owners should assume closer alignment between EPC outputs and Action Plan expectations over time.

Key risks and assumptions

The following risks and assumptions should be considered when relying on this briefing:

• Parliamentary approval: The Regulations are subject to the affirmative procedure and are not legally in force until approved and made. Any delay or amendment could affect commencement dates or transitional arrangements.

• Technical detail: While headline policy direction is clear, detailed non-domestic metrics, certificate layouts, and software conventions may be refined through secondary guidance or updates to approved calculation methodologies.

• Transitional interpretation: Transitional provisions are based on published Government responses and draft legislation; final guidance may clarify or constrain how existing EPCs can be relied upon during and after the transitionary period.

• Market behaviour: Lenders, purchasers, tenants, and public bodies may adopt more conservative requirements than the minimum legal position, including requesting new-style EPCs earlier than strictly required.

• Data dependency: The usefulness of reformed EPC outputs will depend on the availability and quality of building fabric, services, and metering data.

Non-domestic property owners and occupiers should begin preparing for the reformed EPC regime well in advance of October 2026. Key actions include reviewing portfolios to identify assets likely to be sold or let during the transitionary period, budgeting for more frequent EPC renewals, and ensuring that building services and fabric information is readily available.

Given the interaction between EPCs, Section 63 Action Plans, and wider heat in buildings policy, early engagement with advisers is recommended.

7. Conclusion

The Scottish EPC reforms represent a significant change for non-domestic property. While some technical detail may still evolve, the direction of travel is clear: shorter EPC validity, updated performance metrics, and a more robust regulatory framework. Owners and investors who plan ahead will be best placed to manage compliance risk and support long-term decarbonisation objectives.

8. References

Scottish Government – Energy Performance of Buildings (Scotland) Regulations 2025 (gov.scot).
legislation.gov.uk – Draft Scottish Statutory Instrument: Energy Performance of Buildings (Scotland) Regulations 2025.