9:30 AM, 13th February 2025, About 5 hours ago 19
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Proposals in a government consultation could force landlords to update their EPCs every time a tenant renews their tenancy agreement, even if it’s with the same tenant.
Under current rules, EPCs are valid for ten years, and when they expire, a new one isn’t needed unless you’re entering a new tenancy with new tenants or selling the property.
Following on from yesterday’s article about the proposed EPC changes, we delve deeper into what the proposed changes to EPC validity could mean for landlords.
In a consultation on EPCs, the government suggests forcing landlords to update EPCs more frequently.
The consultation says: “We are proposing to introduce for private rental properties a new trigger point where an EPC is required for when the current one expires.”
The government suggests that updating an EPC would be similar to updating a gas safety certificate, which is required every 12 months.
“This measure would also support energy performance improvements in PRS buildings that are subject to minimum energy efficiency standards (MEES). It would be similar to other requirements on landlords throughout tenancies, such as valid building insurance or gas safety certificates, and can be managed through letting agents where appropriate.
“Close working between MEES enforcement bodies and EPC enforcement bodies can assist with managing overall compliance rates”.
Behind the government’s push to require a valid EPC throughout a tenancy, the consultation says the average tenant in the private rented sector stays for 4.3 years.
The government argues this means many long-term tenants could be living in properties without an up-to-date EPC.
The consultation says: “In addition, even if a tenant is in a property for less than the average period, the EPC for that property could still expire while they were living there.
“The presence of a valid EPC throughout a tenancy, rather than solely at the point of marketing, would ensure landlords and tenants are equipped with accurate and up-to-date information. This could also help improve compliance with government policies and commitments such as MEES and ensure that properties remain attractive to existing and potential tenants.”
The government claims that reducing the validity period of EPCs could allow building upgrades, such as fabric changes, to be captured more frequently.
The consultation says this would provide prospective buyers and tenants with more accurate and up-to-date information to inform decision making which may directly impact their cost of living.
The government does admit that reducing the validity period would greatly impact private landlords.
However, claims landlords will only incur a “small increase in costs from regular EPCs.”
The government recently announced all private rented sector properties will need to meet EPC C targets by 2030 and 2028 for new tenancies.
Numerous articles on Property118 have revealed the cost of upgrading a property to a C could cost thousands of pounds, and if the validity of EPCs changes, this could mean landlords will have to spend even more on upgrades just to stay compliant.
The government has said that if they reduce the validity period of EPCs, there are several ways they could introduce the change.
The consultation outlines different approaches, such as allowing existing EPCs to remain valid until they naturally expire, immediately invalidating all 10-year EPCs when the new rules come in, or introducing a two-year transition period before the new validity rules take full effect.
Stay tuned for more articles on the EPC consultation where we will delve deeper into the new metrics that will measure EPCs.
moneymanager
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Sign Up10:55 AM, 13th February 2025, About 4 hours ago
'Proposals in a government consultation could force landlords to update their EPCs every time a tenant renews their tenancy agreement, even if it’s with the same tenant.'
Not that I'm in favour of all tenancies being periodic after six months but surely that would mean that no tenancy ever renews, logical disconnect, all part of the societal destabilisation plan.
Colette McDermott
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Sign Up11:14 AM, 13th February 2025, About 4 hours ago
Reply to the comment left by John Nyari at 13/02/2025 - 10:27
Absolutely. This has been clear for a long time now. Being a landlord just keeps getting more and more depressing.I have very little pleasure in it now.Feeling that I am in a group that is being targeted; bullied. This nonsense could very well be the final straw. I genuinely feel for my tenants though. None of this is in their favour ( Except maybe the requirement to take pets benefits tenants?). But everything else takes away the humanity in it. Good luck with a corporate landlord.
Stuart Rothwell
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Sign Up11:41 AM, 13th February 2025, About 3 hours ago
Reply to the comment left by John Nyari at 13/02/2025 - 09:38
They are talking about a new tenant going into a property, as you rightly say there will be no more renewals of existing/ongoing tenancy agreements. Perhaps the wording could have been a bit better!
Shaheen Hamadani
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Sign Up11:42 AM, 13th February 2025, About 3 hours ago
this seems very impractical and unnecessary. not sure if this is just another sensational idea by labour to show the none owning property sections of voters that labour is going after landlords. better they concentrate efforts on building the 1.5 million homes. i watched roger bisby of skill builder yesterday saying he doubts 1/3rd of these will get built. and he gave his comments about the recent programme on damp and mould in properties. he reckons it's mostly fuel poverty and people not using heating.
Chris @ Possession Friend
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Sign Up11:59 AM, 13th February 2025, About 3 hours ago
The cost will be added to the Rent ( Dummies 101 )
Downsize Government
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Sign Up12:21 PM, 13th February 2025, About 3 hours ago
"However, claims landlords will only incur a 'small increase in costs from regular EPCs.' "
Yes, but its death by a 1,000 cuts. Anyone who has done any economics would be able to tell you about marginal effects. The marginal extra cost may be the difference between a landlord selling up and remaining a landlord.
Also the landlord who bears this cost does not know if this is cut 150, 600 or 999. The trend is ever more restrictions and costs on landlords. So the signal is as important as the action.
D J
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Sign Up12:45 PM, 13th February 2025, About 2 hours ago
Poor written headline; the proposal is that "We are proposing to introduce for private rental properties a new trigger point where an EPC is required for when the current one expires."
That's it, not for every new tenancy.
D J
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Sign Up12:48 PM, 13th February 2025, About 2 hours ago
Reply to the comment left by moneymanager at 13/02/2025 - 10:55
that's not what the proposals say
Ross Tulloch
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Sign Up12:55 PM, 13th February 2025, About 2 hours ago
Reply to the comment left by D J at 13/02/2025 - 12:45
If it is when the current one expires of course that is okay. We have to do them every 10 years do we not? That’s not a problem. There could be a lot of misinformation, but I’ve seen other articles suggesting the frequency will have to go up.