EPC Requirements for Rental Properties
Guide to Energy Performance Certificates for UK landlords. Current minimum E rating, upcoming C rating requirements, and exemptions.
Key Facts
- Minimum EPC rating of E required since April 2020
- Valid for 10 years
- Government proposing minimum C rating by 2030
- Exemptions available if cost cap reached (£3,500)
- Must be provided to tenants before they move in
What is an EPC?
An Energy Performance Certificate (EPC) rates the energy efficiency of a property from A (most efficient) to G (least efficient). Since April 2020, all rental properties in England and Wales must have a minimum EPC rating of E. The government has proposed raising this to C by 2030.
When Do You Need an EPC?
You need a valid EPC when marketing a property to let, at the start of a new tenancy, when an existing EPC expires during a tenancy, and to demonstrate compliance during an inspection. An EPC is valid for 10 years, but you should check whether your property still meets the minimum rating threshold.
Minimum Energy Efficiency Standards (MEES)
Since 1 April 2020, it has been illegal to let a property with an EPC rating below E, unless you have a valid exemption registered on the PRS Exemptions Register. Exemptions include properties where all cost-effective improvements have been made (the cost cap is £3,500 including VAT), listed buildings where improvements would unacceptably alter character, and properties where a required wall insulation would cause damage.
Penalties
Penalties for renting a property that breaches MEES range from £2,000 for less than 3 months of non-compliance to £4,000 for 3 months or more. Under the Renters' Rights Act, EPC non-compliance may also affect your ability to increase rent or serve possession notices.
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