10% of Landlords are unaware of EPC changes

Newly proposed EPC regulations that will change the minimum Energy Efficiency Standards will take effect in 2025.

According to new research by Direct Line business insurance, a large proportion of landlords are unaware of the planned changes to the minimum standards for Energy Performance Certificates.

All newly rented properties will need a minimum EPC rating of C from December 2025, as the government aims to increase energy efficiency and achieve net-zero carbon targets.  

The current rating requirement is E or above and if a landlord was to rent a property below these standards, they could receive a fine of up to £5,000. Therefore, it is vital that you ensure you are complying with the energy performance standards of your property.    

Shawbrook Bank’s ‘Confronting the EPC Challenge’ white paper revealed that 23% of landlords in their survey admitted that their properties are rated D and below. Therefore, a large proportion of landlords will need to have the energy efficiency of their property boosted to meet the newly proposed guidelines.

The regulations will be introduced for new tenancies first, followed by all tenancies from 2028.

An EPC certificate shows how energy efficient a home is and it is valid for 10 years.

It can cost between £35 and £120 depending on the size of the property it is for. (Source: EDF Energy)

Although the stated 2025 regulations are only proposed, it is still a necessity to improve your EPC rating, not only to abide by the law, but to make your property as energy efficient as possible.

I’ve put together a variety of actions you can take to bump up the energy performance in your property.

How to improve your EPC rating:

Double glazing

• Upgrading your windows and doors will increase insulation levels.
• Can reduce noise
• Double glazing costs vary between £150 and £600 per window. (Source: Double Glazing Network)

Loft insulation

• Installing insulation will prevent heat from rising and disappearing through the roof.
• Costs between £5 and £11 per square metre. This means that it should cost no more than about £1250 to insulate a 4-bedroom detached home. (Source: Home How)

Wall insulation

• Ensures that heat remains within the property.
• Helps with the cost of energy bills.  
• The average cost of cavity wall insulation is roughly £200 per wall (Source: MyBuilder.com)

Replace boiler

• Install a new energy-efficient boiler
• For example, electric combi boilers and biomass boilers.
• The average price of an electric combi boiler is £1,500 for a 9-kW model (Source: Green Match)

Secondary heating source

• For example, replacing an open fireplace with a log-burner will give you greater fuel efficiency.  
• The average cost of a log burner is £950 and £2,000 to install (Source: Checkatrade https://www.checkatrade.com/blog/cost-guides/log-burner-install-cost/)

Solar panels

• Produces cheaper and greener energy.
• A single solar panel costs £350-£500 (Source: Green Match)

LED light bulbs

• Upgrading your lighting to LED as its components and the way it generates light significantly extends its lifespan. LEDs are capable of turning 70% of their energy into light.
• LED light bulbs can cost as little as £1 and over the course of one year, the approximate cost of an LED lamp is £1.70 (Source: Green Energy)

Install a smart meter

• A smart meter gives you real time information on your energy use, allowing for better management of your usage.
• It must be noted that a smart meter will not automatically save energy and money.

Efficient appliances

• Check the energy label on your appliance. What is its energy rating?
• For example, install a fan-assisted oven and an electric hob as they are more energy-efficient than gas rings.

Overall, it can be inexpensive to improve your energy efficiency. It can be as simple as spending loose change on energy-efficient lighting. Boosting your energy efficiency will not only avoid fines, but it can also help reduce utility bills, saving the landlord money in the long run.

Useful Links:

Checkatrade: https://www.checkatrade.com/blog/cost-guides/log-burner-install-cost/

Shawbrook Bank, ‘Confronting the EPC Challenge’: https://www.shawbrook.co.uk/media/4498/epc-report-20220203.pdf?utm_source=PR&utm_medium=Press+Release&utm_campaign=EPC