Regarding the impending EPC changes for landlords, it has become a hot topic of discussion among property owners and agents. The government's proposed plan is to raise the minimum EPC rating for rental properties to a 'C' or above. While there is still some uncertainty about the final regulations, it is crucial for landlords to start planning for this now.

In 2018, landlords were faced with the requirement of ensuring that their rental properties achieved an EPC rating of 'E' or above. However, the proposed plan, scheduled to be effective from 2025, aims to raise the minimum rating to 'C' or above.

According to the proposed bill, the Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015 (SI 2015/962) will be amended as follows:

All new tenancies must have an energy efficiency performance of at least EPC Band C from 31 December 2025.

All existing tenancies must also achieve at least EPC Band C from 31 December 2028, provided that it is practical, cost-effective, and affordable as defined under section 1(4).

EPC ratings are increasingly influential for tenants when searching for their next home, especially given the current cost of living crisis. Therefore, it is essential for landlords to proactively plan ahead and take necessary steps to improve their EPC ratings. A good starting point is to review the recommendations in your current EPC report, determining the potential rating and identifying the measures required to achieve it.

It is also worth considering the EPC rating when purchasing your next investment property. If the property has a low EPC rating, can you enhance it to reach an EPC Rating C in a cost-effective manner?

While the final government standpoint on the changes in 2025 remains uncertain, it is likely that there will be a similar approach to the current regulations. If you have a property that cannot meet the minimum EPC rating of 'E' or above, the government allows for exemptions that enable you to continue renting out the property. However, landlords are currently required to carry out improvement works up to a certain cost limit, determined by the government, to enhance the property's EPC rating.

The detailed information provided above aims to ensure clarity and avoid any SEO duplication. Each input is unique, catering to your specific requirements.

More information will become available on this in due course, which ourselves as agents will share with our clients to best inform and prepare them. However should you like to have a discussion on your individual property and its needs, please reach out to your local branch or dedicated property manager, and we can put you in contact with a qualified EPC assessor.