0:06 AM, 5th February 2025, About 59 minutes ago
Text Size
Landlords should receive tax incentives for energy-efficient property upgrades which help reduce renters’ ‘crippling’ utility expenses, Tory MPs have urged.
MailOnline reports that Labour has been told by MPs in the Conservative Environment Network (CEN) that tax relief will lower tenant costs and reduce UK reliance on foreign fuel imports.
As part of the government’s EPC consultation, the MPs are pushing for these improvements to be treated as tax-deductible expenses.
The government’s current plan mandates that landlords achieve an EPC rating of C by 2030.
Former science minister, George Freeman, told MailOnline: “Energy bills are crippling renters across the UK. Rising costs are making it unsustainable to be a landlord.
“Yet, the government is proposing to add more regulation to the sector, without providing adequate support for the necessary upgrades.
“The government must make energy efficiency upgrades a tax-deductible expense.
“On average, it can cost landlords £3,200 to retrofit their homes.”
He added: “But the UK has some of the worst-insulated homes in Europe – this needs to be addressed.
“We need to help landlords who are looking to invest and improve their properties.
“By cutting taxes on landlords, we will help them improve their properties and boost their value.
“Renters would also immediately benefit, staying warmer for less and prepared for future winters.”
Devon MP Rebecca Smith said: “Labour promised in their manifesto to take rapid and effective action to improve energy efficiency and reduce bills for renters.
“But instead, the government is delaying action until 2030 and proposing to burden landlords with added red tape without financial support.”
She adds: “The government must do more to help renters, but it must do it in a market-led way which doesn’t raise costs for landlords or renters.
“With the Renters’ Rights bill returning to Parliament, the government cannot delay supporting landlords and rural communities to retrofit their homes.
“This does not mean expensive, statist intervention – we need sensible, pro-market intervention.”
The Conservative Environment Network previously recommended the Chancellor explore various tax incentives to boost home energy efficiency.
Its suggestions included reduced stamp duty for buyers of well-insulated properties and rebates for homeowners undertaking energy-saving renovations.
CEN’s Sam Payne said: “Improving energy efficiency is crucial for reducing gas consumption, improving our energy security by decreasing dependence on imported gas.
“By preventing heat loss through poorly insulated walls, windows, and doors, households can benefit from lower energy bills.
“However, regulation alone is not enough to achieve this.
“To make energy-saving upgrades more accessible and affordable, there need to be strong incentives, such as tax reductions.
“Allowing landlords to deduct energy efficiency improvements from their taxes is an effective way to promote upgrades in the private rental sector, benefiting tenants with lower bills.”
Previous Article
Two lenders cut buy to let mortgage rates
