Update – Changes to the Energy Performance Certificate (EPC) Regulations

The landscape of lettings in the UK is evolving once more, and landlords need to be ready. Unveiled recently, amendments to the Minimum Energy Efficiency Standards (MEES) for England and Wales stipulate that all rental properties must achieve an Energy Performance Certificate (EPC) rating of ‘C’ or higher by 2028.

These changes underline a resolute commitment by the UK Government to mitigate the environmental impact of domestic energy use, making energy efficiency a priority and progressing towards a greener, more sustainable future. This shift not only represents an important stride in addressing the climate crisis, but also aims to make homes more comfortable and reduce energy bills for tenants.

As a landlord, it is imperative to familiarise yourself with these changes to the EPC regulations. Not only will it be a legal obligation, but such energy efficiency improvements could enhance the attractiveness of your property to prospective tenants, potentially securing longer tenancies and adding to your property’s value.

The EPC regulations were introduced to help reduce carbon emissions and improve the energy efficiency of buildings in the UK. It is essential for landlords to comply with the regulations to ensure the safety and comfort of tenants, as well as to avoid potential penalties. However, there are some cases where exemptions apply. In this guide, we will provide you with an overview of the EPC regulations, exemptions, and how to claim them.

What are EPC regulations?

An EPC is a certificate that rates the energy efficiency of a building from A (most efficient) to G (least efficient), and is required when a building is built, sold, or rented out. To obtain an EPC, landlords need to hire an accredited energy assessor to inspect the building’s energy performance and provide a certificate. Failure to comply with the regulations may result in fines ranging from £500 to £5,000, depending on the property’s rateable value.

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Exemptions from EPC regulations

There are several exemptions from EPC regulations that landlords can claim. These exemptions include:

• Listed buildings: Buildings that are officially listed as historic or of special architectural or historic interest and require conservation work that would conflict with the EPC’s recommendations.
• Temporary buildings: Buildings with a planned time of use of fewer than two years.
• Religious buildings: Buildings used for worship or other religious activities.
• Standalone buildings: Buildings with a total useful floor area of less than 50 square metres, detached or semi-detached with no adjoining properties.
• Industrial sites, workshops, and non-residential agricultural buildings: Buildings used for industrial or agricultural purposes or for storing raw materials, goods, or equipment.
• Buildings to be demolished: Buildings with a scheduled demolition date.
• Buildings with low energy demand: Buildings that are deemed to have a low energy demand, such as agricultural buildings or those without a heating system.

Exemptions are not applicable when:

• The property is sold or rented out.
• Changes to the property’s use occur, such as converting a non-residential building into a residential one.

How to claim an exemption

To claim an exemption, landlords need to provide supporting evidence to demonstrate that the exemption applies. This evidence may include:

• Proof of the building’s listed status for listed buildings.
• Documents proving the building’s planned use for temporary buildings.
• Evidence of the building’s use for religious buildings.
• Floor plans or other documents proving the building’s total useful floor area for standalone buildings.
• Documents proving the building’s industrial or agricultural use for industrial sites, workshops, and non-residential agricultural buildings.
• Evidence of the scheduled demolition date for buildings to be demolished.
• Energy bills, heating systems, or other documents proving the building’s low energy demand for buildings with low energy demand.

Landlords must claim an exemption through the relevant authority, such as the local council. The timeframe for claiming an exemption may vary depending on the specific exemption.

Conclusion

In conclusion, as a landlord, it is crucial to comply with the EPC regulations to avoid penalties and ensure the safety and comfort of your tenants. However, exemptions may apply in certain situations, and landlords should seek professional advice to determine whether they are eligible for an exemption. Ultimately, complying with the EPC regulations can benefit the environment and lead to cost savings.

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