Whether youβre a homeowner, landlord or a private tenant, itβs really important that youβre aware of recent changes to EPC requirements and how they impact you. The press isnβt short of murmurings about EPC ratings but, for the uninitiated, this stands for βEnergy Performance Certificateβ. In a nutshell, itβs an assessment of how energy efficient your home is in grades from A to G. Recent changes to the rules and regulations surrounding EPC requirements may pose challenges and opportunities. Weβll run you through what these changes are and how best to meet them.
So, what are the changes to EPC regulations?
April 2023 saw changes to EPC regulations that have further restricted the trading or leasing of buildings that donβt comply with requirements. This is specifically in relation to commercial buildings that fall below a Minimum Energy Efficiency Standard (MEES) of an E-rated EPC.
However, itβs not limited to commercial buildings. By December 2028, all existing privately rented properties will require an EPC rating of C or above provided that they arenβt exempt. Properties are rarely eligible for exemption from this rule but in some cases it is granted.
For example, if you can prove that youβve taken all the recommended and necessary steps to improve the EPC rating of your property but it still sits at a level E or below, you may be deemed exempt. This will still mean that other properties that do not meet this EPC rating will not be eligible for being rented out. These requirements will be in place as soon as December 2025, leaving little time to make the meaningful adaptations necessary to make buildings compliant.
Why are the changes to EPC regulations significant?
When it comes to the energy efficiency of many existing homes throughout the UK, a lot is going to have to change in a relatively short space of time. Depending on how inefficient your property or properties are when it comes to energy, you might have quite a task on your hands to ensure that theyβre compliant.
If youβre a landlord, your propertyβs EPC should be a priority as unless it meets the standards you will not be able to sell or lease it which will obviously mean losing revenue. And, as energy efficiency standards increase in general, tenants will yield more power to choose between properties that guarantee higher rates of energy efficiency.
If youβre still uncertain as to whether or not these new requirements apply to your property, the Gov.uk guidance is that you ask yourself two sets of questions: 1) is your property let as a domestic tenancy and 2) is the property legally required to have an EPC? To read more about the particulars for these questions, follow this link.