The government has confirmed its plan to force all private landlords to get their rental properties up to an EPC C – from the current EPC E – by 2030.

After announcing its intentions in August last year, it now wants tenants’ and landlords’ views on the proposals, which will expect landlords to start with fabric improvements to improve energy efficiency, such as installing double glazing and cavity wall and loft insulation, moving on to solar panels and batteries if their properties still fail to make the grade.

The government estimates that landlords will have to pay between £6,100 and £6,800 to comply with the proposals. It has set a maximum cap of £15,000 per property, with an affordability exemption which would lower it to £10,000 and could be applied based on lower rents or council tax band.

Energy Secretary Ed Miliband (pictured) says tenants have been abandoned and forgotten for years as opportunities to deliver warm homes and lower energy bills have been disregarded and ignored.

He adds: “As part of our Plan for Change, these new changes could save renters £240 a year by raising the efficiency of homes to cut the cost of bills.”

Impacted

However, there are also concerns that landlords in some regions who own cheaper houses will be disproportionately impacted when paying out for improvements.

In its response to the consultation, the NRLA will ask for a comprehensive funding package to help landlords meet the new standards, and for the government to give serious thought about whether its plans are achievable within the five-year timeframe.

REACTION

Ben Beadle - Chief Executive of the National Residential Landlords Association:

“We all want to see rented homes as energy efficient as possible, but that will require a realistic plan to achieve this.

“The chronic shortage of tradespeople to carry out energy efficiency works needs to be addressed, alongside a targeted financial package to support investments in the work required as called for by the Committee on Fuel Poverty and Citizens Advice.

“Importantly a realistic timetable is needed if the 2.5 million private rented homes, which will not currently meet the Government’s proposed standards, are to be improved.”

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Timothy Douglas - head of policy and campaigns at Propertymark:

“Landlords are part of the solution, but the UK government must listen and support them as housing providers.

"Failure to do so alongside adequate and sustained grant funding will only mean that property will not be available to rent, and tenants lose out when there is huge demand for rented property across the country.”

Sean Hooker - Head of Redress at the Property Redress Scheme:

‍"Landlords and all property agents should feed into this consultation to ensure the best outcome that works for the sector, whilst driving towards the necessary emissions targets.

"We have seen too many previous initiatives fail as they have not been workable in the real world and therefore are too complicated to comply with."

Daryl Norkett - from mortgage broker Shawbrook:‍

"Landlords have seen their profitability squeezed by a combination of rising interest rates and more regulation.

"Inevitably improving the EPC ratings of their properties comes at a cost and the return on that investment can be uneven across different regions and thenacross different types of properties.

"The cost of most improvements, for example heating upgrades, do not vary as much across the country as the value of the properties themselves and it is more challenging to make a business case to invest £10,000 into a property worth £100,000 in the North East than it is aproperty worth £500,000 in the South East."

The consultation ends on 2nd May.

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