Energy Performance Certificate (EPC) regulations for landlords have evolved over the years, bringing significant changes to how rental properties must comply with energy efficiency standards. In 2018, the introduction of Minimum Energy Efficiency Standards (MEES) set a mandatory energy rating of 'E' or higher for all new tenancies. This requirement was later extended to cover all tenancies, meaning that every rental property must now meet this standard, regardless of when the tenancy began.
In 2021, the government announced plans to further tighten these standards, with proposals to require an EPC rating of 'C' or above for rental properties by 2028. These changes aimed to improve energy efficiency in the housing sector and reduce carbon emissions. However, in 2023, after much speculation, the government decided to abandon these plans, leaving the current EPC requirements unchanged with no immediate intention to revisit them.
At Paul Carr Estate Agents, we stay on top of these regulatory changes, offering landlords expert advice on how to ensure their properties meet legal standards while helping them navigate any future updates that may arise.
What Are the Current EPC Requirements?
Since October 2008, it has been mandatory for rental properties in England and Wales to have an Energy Performance Certificate (EPC). The EPC provides an energy efficiency rating for a property, ranging from 'A' (most efficient) to 'G' (least efficient), and is valid for 10 years.
On April 1, 2018, MEES regulations came into effect, requiring all properties being sold or let to have a minimum EPC rating of 'E' or higher. As of April 1, 2020, this rule applies to all existing tenancies, not just new ones. Therefore, any property with a rating below 'E' can no longer be legally rented out.
If you're unsure about your property's current EPC rating, Paul Carr Estate Agents can arrange an Energy Performance Assessment for you, ensuring your property remains compliant and attractive to prospective tenants.
Are EPC Requirements Changing?
Following a consultation in December 2020, the government initially proposed tightening the EPC requirements. They suggested that by 2028, all rental properties would need an EPC rating of 'C' or above. This change was aimed at helping the UK meet its 2050 net-zero carbon emissions target. The plan included introducing the new standards for new tenancies by 2025, followed by all tenancies by 2028, and significantly increasing the penalty for non-compliance from £5,000 to £30,000.
However, in September 2023, the government reversed these proposals, deciding to abandon any new EPC regulations for the time being. For now, the minimum EPC rating remains 'E,' and there are no plans to raise it in the near future. This offers some relief for landlords, but with energy efficiency continuing to be a key focus, staying informed is essential.
At Paul Carr Estate Agents, we’re here to help landlords keep pace with these changes, offering guidance on how to improve energy efficiency and meet current requirements.
When Do I Need to Renew My EPC?
EPCs are valid for 10 years, but once they expire, you don’t automatically need to get a new one unless you're planning to sell or let your property to a new tenant. If you do intend to let or sell, you will need a valid EPC in place. It's important to remember that while there is no obligation to renew an expired EPC immediately, it's always a good idea to keep your property’s energy performance up to date. Paul Carr Estate Agents can assist in arranging EPC assessments to ensure your property remains competitive in the rental market.
How Can Landlords Meet the Current EPC Requirements?
If your property doesn’t yet have an EPC or needs a new one, the first step is to book an Energy Assessment with a qualified assessor. The assessment itself typically takes 30 to 40 minutes. However, if your property does not meet the minimum 'E' rating, the recommended improvements could take several weeks to implement.
At Paul Carr Estate Agents, we can connect you with trusted energy assessors and guide you through any necessary improvements. As a landlord, it’s your legal responsibility to review the recommendations in your EPC report and ensure your property meets the required standards. The government sets a cap of £3,500 for energy efficiency upgrades, which includes any grants or funding you may receive. If the suggested improvements exceed this amount, you may be eligible for a high-cost exemption through the PRS Exemptions Register.
Whether you need advice on improving your property's energy efficiency or want help navigating exemptions, Paul Carr Estate Agents is here to support you every step of the way. With our expert knowledge and local market insight, we’ll ensure your property complies with regulations and remains attractive to tenants.