Landlords say government’s EPC C target by 2030 is ‘impossible’

Landlords say government’s EPC C target by 2030 is ‘impossible’

9:32 AM, 29th August 2024, About 3 months ago 42

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As the UK government pushes ahead with its plan to require all rental properties to achieve an EPC rating of C by 2030, a growing number of landlords are sounding the alarm.

According to a survey by Landwood Group, a staggering 95% of respondents believe the target is impossible to meet.

And, it says, it is seeing a surge in landlords wanting to auction their properties – these include single homes and large portfolios.

The firm of national chartered surveyors and auctioneers warns that the energy performance certificate proposals are unrealistic but could also damage the private rented sector (PRS).

With some of the oldest housing stock in Europe, the UK’s landlords face significant challenges in upgrading their properties to meet the new standard.

‘So-called ‘green’ initiative’

Mark Bailey, a partner at Landwood Group, said: “This so-called ‘green’ initiative might look good on paper, but it’s built on shaky foundations.

“The focus on improving modern social housing, overlooks the vast majority of Britain’s private rental properties which are ageing and would require significant, costly upgrades to meet the EPC C standard.”

He adds: “For many, achieving this rating is not just challenging; it’s nearly impossible without substantial financial investment.

“Previously, government subsidies helped with upgrades like heat pumps and insulation.

“Now, landlords have little choice but to sell or raise rents to cover these high costs.”

Landlords are forced out of the market

Mr Baily continued: “The consequences for renters are clear. As landlords are forced out of the market, tenants will face fewer housing options and higher rental prices.

“Energy efficiency is certainly important, especially in light of rising energy costs.

“But what use is energy efficiency if people can’t afford a place to live?”

He adds: “The government needs to address the housing crisis before imposing such stringent requirements.

“As it stands, this policy risks doing more harm than good.”


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Imout Ofhere

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14:07 PM, 29th August 2024, About 3 months ago

It's not just impossible, it's impractical too.
Of five EPC done within a few weeks of each other, two being the same type of house we ended up with 3x D and 2 x C
Two of the D, same type house, got two different recommendations. Both for solar panels but one for an additional wind turbine !
One of the C has everything, solar panels, water and electric, warm roof, insulated wall, underfloor heating, room control stats/timers, double glazed, led throughout, A rated boiler......and they still wanted a wind turbine to get it to....a C !!! Top C but no further !!!!
Not fit for purpose...

Cider Drinker

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14:21 PM, 29th August 2024, About 3 months ago

Reply to the comment left by Imout Ofhere at 29/08/2024 - 14:07
It’s also corrupt. Governments can change the algorithm at will to make a C rated property become a D rated property.

The thing we should be campaigning for is commonality across all tenure types. Private tenants shouldn’t be burdened with the cost of improvements.

Reluctant Landlord

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14:27 PM, 29th August 2024, About 3 months ago

Reply to the comment left by Ian Narbeth at 29/08/2024 - 13:51
true, but I was thinking along the lines of a letter signed by tenant stating that they do not agree to the proposed works taking place because of the disruption, and the anticipated rent increase that will follow as a result of the works being undertaken.

Reluctant Landlord

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16:26 PM, 29th August 2024, About 3 months ago

7. ‘Consent’ Exemption
Third party consent exemption (Regulation 31(1) and Regulation 36(2)).

Applies to domestic and non-domestic property.

Depending on circumstances, certain energy efficiency improvements may legally require third party consent before they can be installed in a property. Such improvements may include (but are not limited to) external wall insulation or solar panels which can require local authority planning consent, consent from mortgage lenders, or other third parties. Consent from a superior landlord may be required where the landlord is themself a tenant. Consent may also be required from the current tenant of the property or other tenants depending on the provisions of the tenancy or tenancies.

It is not practical to provide an exhaustive list of all situations where third party consent requirements may apply. Information on when and where consent is required will be contained within relevant documentation, for example in the landlord’s lease or mortgage conditions.

Information Required: when registering an exemption of this type the landlord will need to upload to the register, a copy of any correspondence and/or relevant documentation demonstrating that consent for a relevant energy efficiency measure was required and sought, and that this consent was refused, or was granted subject to a condition that the landlord was not reasonably able to comply with.

Once registered, the exemption will generally last 5 years; after this time it will expire and the landlord must try again to improve the property’s EPC rating to meet the minimum level of energy efficiency. If this cannot be achieved then a further exemption may be registered. Please note however that, where improvements cannot be made because consent could not be obtained from the current tenant of the property, the exemption will only remain valid for as long as that tenant remains the tenant. The improvement would then need to be made before the property is let on a new tenancy.

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If all PRS properties are made to get to a C, rents will rise, so there is less chance an existing tenant in your property (who has already signed a letter saying they do not give consent while they are in situ) will leave anyway as they cannot afford to move anywhere else!

Mick Roberts

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16:59 PM, 29th August 2024, About 3 months ago

Some comments I left elsewhere earlier.

Yes it’s a shame that in 2024, the biggest threat to tenants homes is Govt and Councils and the constant retrospective changes they keep imposing.

We’ll make em EPC A if u like, massive mould and condensation that sometimes hard to undo.

Well these houses weren’t substandard till Govt said EPC D no longer acceptable. Tenants very happy with em and the cheap rent they were.
All my tenants had a choice pay £600pm EPC D or I’ll buy you new build £1000pm EPC A and you’ll save £30pm on your gas bill. By the way the EPC D have already got new boiler windows doors etc.

david boughton

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20:46 PM, 29th August 2024, About 3 months ago

Don't worry ...David dunce Miliband ...sir stammer and the ginger will not even be in government by 2030 ....

John

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20:58 PM, 29th August 2024, About 3 months ago

Reply to the comment left by Dylan Morris at 29/08/2024 - 09:58
Right on.

We are in a warming phase and the cause is that mega star called the sun.

It turns out the sun moves towards and away from earth due to gravitational forces exerted by Jupiter and Saturn.

This is why the earth goes through cooling and warming periods. As we warm more co2 is released from the oceans.

These periods occur over hundreds of years.

BW

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6:16 AM, 30th August 2024, About 3 months ago

As a landlord and building surveyor myself, while there are some properties that require extensive works such as wall insulation, there are many that just need the basics, more loft insulation, better control over the heating, removal of old electric and gas fires, etc.
Ensuring an accurate EPC dating extensions and roof conversions is essential as a starting point, many EPC assessors just do a 3 day course and rush through the work for a low fee, and have no real knowledge of building dynamics unfortunately.
I'm currently writing an academic paper on exactly this, the feasibility of achieving EPC C in the PRS.

BW

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6:21 AM, 30th August 2024, About 3 months ago

Reply to the comment left by Imout Ofhere at 29/08/2024 - 14:07
Wind should only be a recommendation if the property is isolated geographically, if that's not the case you might want to get a more experienced EPC assessor.

Cider Drinker

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9:42 AM, 30th August 2024, About 3 months ago

Reply to the comment left by BW at 30/08/2024 - 06:16
I’m adding 270mm of loft insulation on top of a fully boarded loft floor. This will remove the really useful storage space but should earn the few points that I need to scrape a C rating,

The property isn’t expensive to heat according to the previous tenant. I’m selling it so won’t find out if the new occupant would have sacrificed energy performance for 35 sqm of storage space. I guess they could fit a new floor on top of the insulation but I’ve spent enough and just want rid.

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