Heated debate in Commons over scrapping EPC targets for landlords

Heated debate in Commons over scrapping EPC targets for landlords

0:01 AM, 19th October 2023, About A year ago 21

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MPs clashed in a Commons debate on reaching net zero by 2050, with one MP calling the scrapping of EPC targets for landlords “unforgivable”

Energy Security and Net Zero Secretary Claire Coutinho told MPs the decision to do away with energy efficiency targets was driven by the financial burden it would have placed on landlords.

Estimated costs to carry out energy efficiency improvements could have seen landlords having to fork out between £10,000 – £15,000.

Cost property owners and landlords up to £15,000

Liberal Democrat MP, Wera Hobhouse, asked the Energy and Net Zero Secretary to allow landlords to offset spending on insulation against their income tax bills.

She said: “It is unforgivable that the government have cancelled the obligation for landlords to upgrade homes to an EPC grade C rating by 2028 at the latest.

“A comprehensive home insulation scheme would reduce bills and carbon emissions this winter. I am going to make a proposal that might sound quite attractive to Conservative ears because it is about incentivising and tax breaks.

“Will the Secretary of State consider allowing landlords to offset spending on insulation against their income tax bills? That would benefit tenants by enabling them to live in warm and comfortable homes.”

Ms Coutinho told the debate income tax relief was not the “best response”.

“The real-world reason for why we did not pursue energy efficiency targets is that it could have cost property owners and landlords up to £15,000, and we did not want to put further pressure on rents at a time when families are really struggling.

“With regard to the Hon. lady’s policy on income tax relief, I suggest that is not necessarily the best response, because a lot of landlords are pensioners and will not necessarily pay income tax.”

Cost renters an extra £300 a year

Other MPs also criticised the government’s watering down on energy-efficiency targets.

Green party MP Caroline Lucas told the debate tenants will struggle to pay bills.

She said: “We have heard from the Climate Change Committee that the changes when it comes to landlords and efficiency standards in homes will cost renters an extra £300 a year.

“The Office for Budget Responsibility is clear that, as a result of the changes that are going to be made, our dependence on gas will cost us more.”

Ed Miliband told the debate: “The government now say that landlords will not have to insulate homes, but as the Climate Change Committee points out, these regulations would have reduced renters’ energy bills significantly.

“Moreover, the cost savings would have outweighed any changes in rent. Therefore, they are not lowering costs; they are raising them.”


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JeggNegg

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22:22 PM, 19th October 2023, About A year ago

Reply to the comment left by Troydave at 19/10/2023 - 20:52
i am struggling to understand why this entitlement is given to the tenant on low income.
if this free insulation entitlement is only available to the tenant and not to the property that tenant on low income resides at, what happens if that tenant leaves the property? can they then apply or another entitlement at their next property if insulation is sub standard? why is this entitlement not available to the landlord to claim if they have such a tenant who could have a better standard of living.

Troydave

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20:36 PM, 20th October 2023, About A year ago

Yes, I believe if the tenant moves they could get the same works undertaken in their next property assuming the household income remains under £31,000.
There is no repayment required to be paid by the landlord if a tenant moves out.
Tenants can also get free first time gas central heating if the property already has a live gas supply.
Unfortunately replacement of inefficient gas boilers are only available to owner occupiers.
My point was even when landlords are in agreement to having improvements undertaken without cost , tenants are often not willing to engage so when anti landlord groups talk about non- decent homes it is a result of tenants not helping themselves.

Mick Roberts

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8:09 AM, 21st October 2023, About A year ago

Reply to the comment left by Martin Thomas at 19/10/2023 - 11:56
Exactly what I've been saying Martin.
Ripping tenants nice floors up can't be done while they are there.
Then the grants stop when they leave, the only time u can do the work when the house empty. At that point no grant so no work.
Bonkers. Come ask us what works.

Mick Roberts

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8:10 AM, 21st October 2023, About A year ago

Reply to the comment left by JeggNegg at 19/10/2023 - 22:22
Well said Jegg. Bonkers system isn't it.

GlanACC

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8:36 AM, 21st October 2023, About A year ago

Don't scrap the EPC requirements BUT ONLY if the whole EPC requirements are re thought out. Do they reflect Energy Performance or net zero concerns, at the moment electric heating is better for net zero but gets penalised. This really needs to be addressed BEFORE EPC C requirements are mandated.

DrT

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12:46 PM, 21st October 2023, About A year ago

They say it will save renters £300 per year. However, for landlords to justify paying £10k to £15k to upgrade, they will need to increase the rent by at least £100pm. So overall it will end up costing the renter £900 more every year. There is no such thing as a free lunch.

JeggNegg

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15:56 PM, 21st October 2023, About A year ago

Reply to the comment left by Troydave at 20/10/2023 - 20:36
i understood the point you were making. thats frustrating and makes me wander why the tenant does not want to help improve their standard of living.
thank you for your comments

Mick Roberts

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16:46 PM, 21st October 2023, About A year ago

Reply to the comment left by JeggNegg at 21/10/2023 - 15:56
I get loads of tenants not want new stuff.
I had 46 boilers fitted free Feb April 2022.
I always get several dozen that don't want 'em doing.
Annoying I know cause costs me eventually & would save them on bills.

I've got 56 year old bloke, lived in his house 40 years.
He don't let anyone in to do anything, only the boiler cert & EICR.

I've had 20k free work lined up for him with free insulation room in loft thing Bedroom 3 top floor. He's not having it.

Troydave

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19:12 PM, 21st October 2023, About A year ago

Reply to the comment left by JeggNegg at 21/10/2023 - 15:56
Some tenants will just not believe anything is free to them.

What I try to explain to them is that every time they pay there energy bills around 10% of that bill goes on green levies which enable low income households to have these works without cost .

Troydave

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19:15 PM, 21st October 2023, About A year ago

Reply to the comment left by Mick Roberts at 21/10/2023 - 16:46
My I ask Mick under what scheme did you get free boilers fitted as a landlord.

Under ECO4, replacement boilers are only eligible to owner occupiers .

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