The Government is reportedly considering introducing measures to support landlords in upgrading the energy performance certificate (EPC) ratings of their rental properties. This comes as part of efforts to improve energy efficiency and meet long-term environmental targets.
Currently, landlords are required to ensure their rental properties meet a minimum EPC rating of E. However, this target is set to become more stringent, with the rating requirement rising to C by 2030. Failure to comply with these standards could result in properties becoming unrentable, placing pressure on landlords to make necessary improvements to ensure their properties meet the new criteria.
In response to these upcoming changes, Propertymark, a leading trade body for estate and letting agents, has written to Energy Secretary Ed Miliband, calling for government support. They are urging for assistance to help landlords decarbonise their properties, a process that can be costly but is crucial to achieving the required EPC improvements.Â
The proposal reflects concerns within the property sector, as many landlords face significant financial challenges in upgrading older properties to meet the new EPC standards. Offering government support, such as grants or funding, could help ease this burden and ensure that rental properties across the country are more energy efficient.
The shift towards stricter EPC requirements is part of the broader push for reducing carbon emissions and improving energy efficiency in the housing sector. However, without adequate support, many landlords may struggle to meet these new standards, potentially leading to a shortage of available rental properties.
Miliband has confirmed that his department is still in the process of reviewing potential support and incentives for private landlords. These measures are being considered as part of a wider strategy to improve the energy efficiency of rental properties across the country. With stricter energy performance certificate (EPC) regulations coming into effect, many landlords are seeking clarity on what kind of assistance they can expect from the Government.
At present, several initiatives are already in place to help improve the energy efficiency of homes. One such initiative is the Boiler Upgrade Scheme, which offers financial support for upgrading heating systems to more energy-efficient alternatives. This scheme helps homeowners and landlords replace old boilers with heat pumps and other energy-efficient options, making properties more environmentally friendly and compliant with evolving regulations.
Another initiative is the Great British Insulation Scheme. This programme is designed to improve insulation in homes, making them more energy-efficient and reducing overall heating costs. It works by providing funding for insulation projects, ensuring that properties are better equipped to retain heat, which in turn helps reduce carbon emissions and energy bills.
These schemes typically provide funding through various channels, including installers, energy companies, and other service providers. This structure allows landlords to access financial support for energy-efficient upgrades more easily, making the process of improving their properties more manageable. By working with approved providers, landlords can take advantage of these programmes to ensure their properties meet the required standards.
While these initiatives are already in place, the Government is still considering additional support specific to private landlords. With upcoming EPC regulation changes, the need for further financial assistance is becoming increasingly pressing, as many landlords face significant costs in making their properties compliant with the new requirements.
Tim Thomas, Policy and Campaigns Officer at Propertymark, emphasised the importance of clear guidance from the UK Government on new energy efficiency targets. He stressed that landlords need both financial and practical support to meet the upcoming legislation and contribute to the 2050 net zero goals. Without this assistance, and a recognition of the varied types of properties, these targets are unlikely to be met.
Thomas also highlighted the urgency as the 2030 deadline approaches. He called for more clarity on exemptions, particularly the details of a cost-cap exemption, and whether the Government plans to set interim targets before 2030.
The sector, according to Thomas, is in need of concrete answers to ensure landlords have the time and resources to make the necessary changes. Without this clarity, both landlords and tenants could be affected, with energy efficiency improvements potentially delayed.
He added that clearer guidance on how exemptions will work is essential, as not all properties are the same, and some may face more challenges than others in meeting the new regulations. Knowing the details of exemptions, including any cost limitations, would help landlords plan more effectively.
Ultimately, Thomas stressed that without proper support and clear milestones, the sector may struggle to achieve the energy efficiency targets set by the Government, putting the broader goal of net zero by 2050 at risk.
Download NOW
4 Simple Steps To Becoming Wealthy Through Property