Rightmove has called for more green home incentives for the private rented sector after its poll showed a big fall in landlords planning to make improvements to their properties.

In 2022, more than a third (36%) of landlords planned to fund work to improve homes rated below an EPC grade C, but in late 2023, after the government had announced it was scrapping targets, this dropped to 26%.

To help encourage more landlords make improvements and not sell their properties, incentives such as bigger, more widely accessible grants or tax savings should be considered to help make rental homes greener for tenants, believes Rightmove.

Funding

The portal's ettings expert Christian Balshen (main image, inset) says due to the lack of available and accessible funding, many landlords aren’t in a financial position to carry out major energy efficiency upgrades to their properties.

“A further lack of clarity around potential future Energy Performance Certificate regulations means we’ve seen a drop in the number of landlords who are actively deciding to make their properties greener,” adds Balshen.

“Ultimately this will be to the detriment of tenants who are increasingly wanting to live in energy efficient properties, and so we’d encourage any financial incentives that can be provided to landlords to improve the energy efficiency of the UK private rented sector.”

Private landlords’ properties must meet minimum energy efficiency standards and gain at least an E grade at the start of a new tenancy – or face a fine of up to £4,000.

However, LandlordZONE has reported how this is not being enforced by many overstretched councils as they cannot keep any income they make from fines imposed for breaches.