New EPC Requirements in the UK Private Rental Market: What Landlords and Tenants Need to Know

In the UK, the Energy Performance Certificate (EPC) has long been a critical component of assessing a property’s energy efficiency.

With the government’s push to achieve net-zero emissions by 2050, and with 24% of private rent homes in England deemed to be “fuel poor”, there is a push of improve the energy performance of these properties and reduce fuel bills.  The government have therefore launched a new consultation on improving energy performance for privately rented homes in England and Wales.

Previous consultations noted that a minimum efficiency of C should be implemented for all privately rented properties in England and Wales by 2028, the key proposal in the new consultation is that this should be implemented by 2030, with phased implementation for new tenancies commencing in 2028.

Other proposals include Landlord’s being required to invest up to £15,000.00 per substandard property on energy efficient improvements, after which an exemption may be available if the property still fails to meet the minimum standard.

It is suggested that properties that currently meet the C energy efficiency standard, with the EPC expiring after 2028 or 2030 would not require a new EPC, however those that have a lower EPC energy efficiency standard would have to commission a new EPC.

Therefore, it would be wise for any Landlord of a private rented property to consider what improvements may be required to its housing stock now, and budget accordingly, or consider selling any property that has a D energy efficiency rating and buying property that has C or better energy efficiency rating.