Ed Miliband, Energy Security and Net Zero Secretary, confirmed the plans last week that landlords have until 2030 to get their rented properties to an EPC ‘C’ rating.
He said the move will help support more than three million people in the country facing fuel poverty.
The C target mirrors the original Conservative proposals, first suggested in 2021, which would have required all landlords in England and Wales to have minimum C rated properties by 2028.
Next steps.
While it makes sense in principle, many landlords face significant challenges when it comes to making upgrades, particularly when it comes to insulating older solid brick homes. More information is required as to how properties will be assessed and details of any exemptions and spending caps, as well as whether funding or other support will be available to landlords when it comes to making improvements.
Creating energy efficient homes is a win/win – tenants have cheaper bills, and the property is more marketable as a result. However, the costs to get some homes, typically older properties, to a C grade is, quite simply prohibitive for smaller landlords.
The previous Government was already consulting on plans to change the way EPC inspections are carried out just prior to the election. In addition, ‘C’ rating proposals spend on energy efficiency improvements was to be capped at £10,000.
However, the impact this would have on landlords would differ depending on which part of the country they provided their rental properties– £10,000 being much more feasible for a landlord to finance if they are renting out homes in London, for example, compared to someone whose properties are in the north-east of the country.
Now that a firm target is in place, the new government needs to produce a credible and long-term plan that supports the rental market to improve energy efficiency, including targeting funding for improvements and tax incentives to reduce the overall cost of making changes. In addition, it is vital that as a nation we ensure there is a healthy supply of quality homes to let in the places where people want to live.
While 2030 may sound like some time off, landlords need time to budget for and plan improvement works – and find ways to carry the work out – meaning landlords need answers sooner rather than later.
We will continue to monitor this story closely and provide updates as more information emerges.
For landlords and property investors in Kent, these upcoming regulations represent both a challenge and an opportunity. Preparing your properties to meet the new EPC ‘C’ rating not only makes your rental units more attractive to tenants but also contributes to a more sustainable future.
To navigate these changes effectively, it’s essential to start planning now. Assess the current energy efficiency of your properties and begin exploring the best ways to make the necessary improvements. Whether it’s upgrading insulation, installing more efficient heating systems, or other enhancements, starting early can help spread the cost and effort.
At Lifeboat Lettings we are committed to helping you through this transition. Our team of experts is ready to offer advice, support, and resources to ensure your properties meet the new standards. Contact us today on 01233 802803 to start your journey towards compliance and improved property value.
