The government has launched a new consultation as part of its plans to force landlords t meet decent energy efficiency standards in homes they rent out by 2030.
All private landlords in England and Wales will be required to meet Energy Performance Certificate (EPC) C or above by the end of the decade, up from the lower EPC E level currently required.
The government estimates that the proposals could save renters £240 a year on average on their energy bills, and lift up to half a million households out of fuel poverty, as they will not have to spend less on heating draughty properties.
Under the plans, landlords will have the choice of how to meet energy efficiency standards, with options such as loft insulation, cavity wall insulation and double glazing.
They will also then have further options such as solar panels, batteries and smart meters, or low carbon heating such as heat pumps.
The Government is proposing a maximum £15,000 cap beyond which landlords will not have to spend to meet the EPC C rating, with potential for a lower £10,000 cap if renters are charged lower rents or homes are in a lower council tax band.
It is estimated that the average cost to landlords of complying with the proposals will be £6,100 to £6,800 by 2030.
Previous proposals requiring landlords to meet EPC C standards for private rented homes by 2028 were scrapped by the now former prime minister Rishi Sunak in September 2023.
Deputy prime minister and housing secretary Angela Rayner said: “For far too long we have seen too many tenants plagued by shoddy and poor conditions in their homes and this government is taking swift action to right the wrongs of the past.
“Through our Plan for Change we are driving up housing standards, improving quality of life, and slashing energy bills for working people and families.”
Energy Secretary Ed Miliband commented: “For years tenants have been abandoned and forgotten as opportunities to deliver warm homes and lower energy bills have been disregarded and ignored.”
“These plans will also make sure that all private landlords are investing in their properties, building on the good work of many to upgrade their homes to Energy Performance Certificate C or higher already,” he added.
New energy performance certificates are also planned, but homes that are already rated A-C under the current system will be considered compliant until the expire, the government said.
Acting shadow energy secretary Andrew Bowie said: “This misguided announcement will do nothing to lower energy bills in this country.
“On top of the warnings that Angela Rayner is nowhere near meeting her house building targets, and her Renters Rights Bill reducing supply and raising rents – Labour are proposing burdening landlords with heavy costs, which will inevitably be passed onto renters, instead of working to deliver cheaper and more secure energy for this country.”
Labour won’t be in power in 2030 plus a turnaround is coming!
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Landlords are waiting until Labour have gone and sanity returns. Expecting landlords to spend thousands just so tenants can save a meagre amount on heating is ludicrous, of course, rents will have to rise probably more than the amount saved. We have already double glazed, insulated the loft, internal wall insulation and changed the heating but only gained an E. The property next door which has been empty for 3 years, has damp and mould with toadstools growing on the walls gained a C.
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The EPC system is not fit for purpose. Who in their right mind is going to lay out £10,000 upgrading a low rent early 1900’s older property to save a tenant £240 year? If you were a tenant and the landlord says I can save you £240/year but it will cost you an extra £200/month would you go for it?. Homeowners are not queuing up in droves to lay out £10,000 they don’t have to save £240 year but they are exercising common sense unlike the government. I think the landlord exodus is going to continue.
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There is that word COULD again. Equally they could not save anything, especially if their landlord sells the property.
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You are right, they could save £240 a year on heating but if you are expecting me to spend £15000 for an upgrade I can guarantee you it will take more than a £20 a month rent rise to cover the outlay and it make sense . Unless my maths is seriously adrift here that’s 62 years to recoup the outlay at £20 extra a month. And its still 28 years on their dodgy “average” sum by which time whatever it is I have done will have almost certainly have needed to be redone/ renewed long since. Which is why homeowners don’t bother, its cheaper to pay £20 a month more on the bills. All this is will do is push up rents and take yet more landlords out of the market.
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