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Landlords face new energy rating requirements

2-minute read

Landlords face new energy rating requirements
Mollie Millman

Mollie Millman

15 October 2020

Homes that you rent out will be required to have higher energy ratings under new government proposals.

The current Minimum Energy Efficiency Standards (MEES) mean that all tenancies now need to have at least an E on their Energy Performance Certificate (EPC).

But the new proposals would require all private rental properties to have an energy rating of C or better.

A C rating for new tenancies from 2025

This could mean that some landlords will have to spend thousands on each property to reach this level of energy efficiency.

Landlords would also be required to prioritise improved insulation and other ‘fabric first’ features over improving heating and lighting.

The changes would be phased in, beginning with new tenancies from 2025 and all tenancies from 2028.

A consultation on the new proposals is currently underway and will stay open until 30 December.

Energy Performance Certificates needed before advertising

The proposals suggest that landlords would be required to give letting agents a compliant Energy Performance Certificate for any property that they’re going to advertise for rent.

Energy Performance Certificates were introduced in England and Wales in 2007. They rate a property’s energy efficiency on a scale of A to G.

The certificates prove landlords comply with legal requirements and that a property is energy efficient, making it’ll likely be more attractive to tenants.

Most properties meet the existing requirements of an E rating – landlords can’t rent out those that don’t meet this rating.

Upgrading rental properties

The National Residential Landlords Association (NRLA) has been calling for more financial support for landlords.

The association’s deputy director of policy Meera Chindooroy said: “Whatever the outcome of the consultation – it closes on December 30, so any new laws likely won’t be passed before the end of March next year – the direction of travel is clear. Landlords must accelerate the upgrade of their properties.

“We have consistently called for further funding to be made available to the sector to encourage landlords to go above and beyond the legal minimum.”

That funding is now available and the Simple Energy Advice website provides more information about this and other sources of funding available.

The government is also giving grants for eco-efficiency improvements through its Green Homes Grant.

The initiative offers households in England vouchers worth up to £5,000 to be spent on improvements such as wall and loft insulation, and environmentally friendly heating systems.

What do you think about the proposals for energy rating requirements? Let us know in the comments below.

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