What are the current Energy Performance Certificate requirements?
It is a legal requirement for landlords to provide an Energy Performance Certificate for their properties. The certificates indicate the energy efficiency of a property, with a rating scale ranging from A – the most efficient – to G, the least efficient.
Currently, rental properties must have an EPC with a minimum rating of E.
What are the proposed changes to minimum EPC requirements?
As part of the new Minimum Energy Performance of Buildings Bill, which is currently going through parliament, rental properties would need to have an EPC with a minimum rating of C.
If accepted, this will come into effect on 31 December 2025 for new tenancies and 31 December 2028 for existing tenancies in England and Wales.
The changes are part of the Government's pledge to reach net-zero carbon emissions by 2050. Inefficient homes result in wasted energy usage, which is not only damaging for the bill payer’s pocket, but also for the environment.
What will the bill mean for landlords?
If your rental property fails to achieve a minimum EPC rating of C, the landlord will need to improve the property’s energy efficiency. Depending on the property, this could mean extensive work for landlords to fund.
If your property achieves a rating lower than a C, you should look at the section of your certificate called ‘How to improve this property's energy performance’.
If you’re an existing landlord or you’re thinking of investing in a buy-to-let property, speak to the rental team at Jordan & Mason for expert advice.
