A recent survey suggests that around one in six landlords who currently own properties below an EPC rating of ‘C’ may feel forced to evict tenants to carry out essential energy efficiency upgrades within the government’s proposed deadlines.
The UK government plans to raise the minimum Energy Performance Certificate standard for private rented homes in England and Wales from the current EPC ‘E’ up to ‘C’ by 2030. This would require landlords to ensure their properties meet this higher standard to remain legally lettable, aside from certain exemptions.
The survey, conducted by lender The Mortgage Works and involving around 1,000 landlords, highlights the dilemma many landlords face. While 39% say they would aim to minimise disruption by offering tenants a temporary rent reduction during improvement works, around 17% admit they might have to evict tenants entirely to get the upgrades done – likely in situations where the work would make the property unsafe or uninhabitable.
The Mortgage Works points out that there’s been much discussion about landlords’ limited powers to evict tenants once Section 21 ‘no fault’ evictions are scrapped under the upcoming Renters Rights Bill. Even so, carrying out substantial refurbishments will still remain a valid legal ground for eviction.
Dan Clinton, head of buy to let at The Mortgage Works, shared his concern over landlords’ awareness of the upcoming rules. He noted that although these changes to energy standards have been discussed for some time, many landlords are only just realising the potential impact – and some may even consider leaving the market altogether.
Clinton emphasised that policymakers need to remember the important role landlords play, not only in supporting the UK economy through labour mobility but also by providing homes to people on lower incomes. Upgrading rental homes to be more energy efficient matters, but so too does recognising the cost and complexity of refurbishing roughly 2.5 million properties.
Finding a fair balance is vital, according to Clinton. This means progressing environmental targets while ensuring that tenants aren’t priced out or left without homes, and that landlords remain willing to invest in the sector.
To help landlords manage these changes, The Mortgage Works has suggested three key areas for government action.
First, they recommend the government provide more time between finalising new EPC rules and enforcing them, so landlords aren’t rushed into expensive work.
Second, they propose introducing the changes in phases, beginning with the least efficient properties first. This approach would help the construction and retrofit sector keep up with demand and avoid bottlenecks.
Lastly, The Mortgage Works argues against setting a single, nationwide spending cap of £15,000 for energy improvements. They believe this figure is too high and doesn’t reflect the wide variation in property types and landlords’ individual circumstances. Instead, they suggest a more flexible approach that recognises these differences.
Clinton concluded that clear guidance, better support, and realistic timelines are crucial. Without these, the risk is that landlords will either exit the market or pass costs onto tenants – which could lead to higher rents and fewer affordable homes.
The research underlines the need for policymakers to look closely at the practical challenges landlords face in meeting future EPC standards.
By supporting landlords through better policy, the government could help protect tenants, ensure continued investment, and still achieve its environmental goals.
For landlords, understanding the upcoming rules now – and starting to plan – may help avoid last-minute decisions that could impact both tenants and their businesses.
As the conversation around EPC standards continues, it’s clear that the issue affects more than just landlords: it has wider implications for housing supply, affordability, and the UK’s green ambitions.
To find out more, you can read the full report by The Mortgage Works, which explores these issues in greater detail.