Update on EPC Ratings for Private Rented Property, Everything you Need to Know

In April 2018, new laws came in which stated any property which is rented out in the private sector needs to meet a minimum EPC rating of E or above, before being let to new tenants or renewing an existing tenancy.

If properties don’t meet these standards, landlords can receive a civil penalty of up to £4000.

Since the laws came into place, there have been a couple of updates, as well as future updates being announced. Discover our overview of what is currently happening with the law and what to expect in the future.

What’s happened since April 2018?

Whilst there have not been any reports on the impacts there have been from the introduction of this law, it is safe to assume that the most common improvements that have been made are;

  • Implementation of a more modern, energy efficient boiler system
  • Use of LED bulbs
  • Installation of double glazed windows

These three improvements are some of the easiest ways to ensure that the energy efficiency of your property improves.

In March 2019, an amendment was made to the laws that were originally introduced in 2018. These changes stated that for properties with an EPC rating of F or G, landlords are liable to pay up to £3500 to bring the property up to the minimum rating of an E.

Further to this, any existing ‘no cost’ exemptions for landlords will only be in place until 31st March 2020.

Next steps for EPC rules

From 1st April 2020, the rules will be further applied to include existing tenancies. This means that anyone who currently lets out a rental property, even if you already have tenants under contract, will need to ensure that their property meets the MEES (Minimum Energy Efficient Standards) of an EPC rating of E or above.

For landlords who need a bit of guidance on the best ways to improve the energy efficiency of their rental property, take a look through our guide.

If you’re a domestic or commercial tenant and want to make sure that you’re more informed about what your landlord is doing to ensure that the property is more energy efficient, take a look at our blog post detailing the top questions to ask your landlord.

Non-domestic properties

These laws also apply to non-domestic properties, such as business units and retail units. Since April 2018, all new or renewed non-domestic lettings are subject to meeting the minimum energy efficiency standards of an E on their Energy Performance Certificate.

From April 2020, all non-domestic properties, even those in existing contracts, will need to ensure their building meets an EPC rating of an E or higher to avoid being fined.

Get in touch

If you need help improving the energy efficiency of your property or properties, or would like an EPC completed, please give our expert team a call on 01403 253439.

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