Landlords: Are you prepared for the changes to EPC regulations? 

Landlords need to be aware of the 2025 EPC requirements for rental properties and have a strategy in place to meet them.

Due to the climate crisis and the government’s push towards ‘net zero’ by 2050, by 2025 all rental properties will need an EPC rating of ‘C’ or above.

The new regulations will apply for new tenancies first, followed by all tenancies from 2028. If a landlord doesn’t have a valid EPC, the fine is increasing from £5,000 to £30,000 from 2025.

This means landlords need to get their properties up to the required EPC standards within two and a half years. As some properties may need a lot more work than others – and with potential labour shortages, landlords need to be taking action now.

Assuming you already have an EPC, it will contain a list of recommendations to make the property more energy efficient. Generally, insulating walls, floor and any loft space is the best place to start, as well as having a ‘smart meter’ installed.

These changes will come at a cost. The government estimates that on average the costs of improvements needed to reach an EPC rating of “C” will total around £4,700. 

There is currently a cap of £3,500 on landlords’ energy performance investment, but as the higher EPC rating will require a greater investment, the cap will be raised to £10,000.

As a landlord, have you got a strategy in place? Why not contact us to see how we can help you finance your refurbishments.

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