New regulations are being introduced from April 2018 which will force landlords to improve the energy ratings of their properties.

This will apply to landlords of privately rented domestic and non-domestic properties in England and Wales. The idea is that properties must reach at least an Energy Performance Certificate (EPC) rating of E.

This will apply from 1 April 2018 for any mew tenancy created for new or existing tenants. From 1 April 2020 this regulation will apply to all privately rented home and from 1 April 2023 it will apply to all non-domestic properties.

The Regulations

The Energy Performance of Buildings (England and Wales) Regulations 2012 state that a rented property should have an EPC showing information relating to the property’s energy use, energy costs and potential energy saving measures.

This is rated on a scale of A to G, with A showing that the property is highly efficient and G showing it has a low efficiency. Under these new regulations properties with an F or G grade will not be allowed to be let.

Exemptions

There are a few exemptions, such as:

  • Where a property would lose at least 5% of its market value if alterations were to be made.
  • If the landlord cannot obtain permission from the relevant third parties to install the required improvements.

Enforcement

Local authorities will enforce the new regulations for domestic properties. Non-domestic properties will be the responsibility of the local weights and measures authority. Fines of between £2,000 and £150,000 will be imposed for non-compliance.

If you are a landlord of either a domestic or non-domestic property and you are concerned about these new regulations, call 01803 500 500 and speak to Vincent & Co.