Ministers told energy performance target for rental homes is ‘unrealistic’

Landlords of private rented homes have been given a hopelessly over-ambitious EPC target.

ARLA has warned ministers that it is unrealistic to raise all private rented stock to a minimum C rating by 2030.

It says that to achieve this, homes would require significant and expensive works.

ARLA says that landlords would need better funding and support, and calls for incentives such as the Landlord’s Energy Saving Allowance to be reintroduced.

The body also says that it would be better to focus on moving towards a mandatory property MoT, encompassing other elements of the home but including energy efficiency.

In its response to a consultation on energy efficiency, ARLA says that in a recent survey of members, a number said that they advise landlords with properties that have E, F and G EPC ratings to sell up.

These agents say that the cost of improving energy efficiency is often too high to warrant the work.

ARLA also claims in its response: “Associated costs with making energy efficiency improvements are encouraging landlords to decrease their portfolios or exit the sector altogether.

“It must also be noted that should landlords sell their most energy inefficient properties and these homes move into the owner-occupied sector, whilst the private rented sector’s energy efficiency might improve, it will result in the owner-occupied sector’s energy efficiency declining, meaning that the Government’s target for all homes to reach EPC C by 2035 will not be achieved.”

ARLA also says that tax changes for landlords act as a further deterrent to make energy efficiency improvements to their properties.

It adds that the Government’s intention to make landlords pay the first £3,500 of any bill to improve energy efficiency disregards the Government’s own earlier commitment to spare landlords upfront costs.

It says that in many parts of the country, £3,500 equates to around seven months of rent.

David Cox, ARLA Propertymark chief executive, said: “As it stands, the Government’s target for all private rented homes to have an EPC rating of C by 2030 will not be met.

“With the collapse of the Green Deal, the private rented sector has been left little in the way of funding in order to raise energy efficiency within the tenure.”

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4 Comments

  1. kittygirl06

    The method of calculation is incorrect.

    I had a B now 10years later its a C. I am told this is because the energy bills have increased?

    If this is correct then with the price of energy bills increasing the grade will always be lower.

    Many landlords increase the insulation above b regs but this is not checked or recorded with B Control.

    It needs to be and the information given to the EPC register.

     

     

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    1. revilo

      If a landlord makes significant changes which improve the rating, they can always have another EPC done.

       

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  2. jeremy1960

    ARLA working hard for it’s members I see, where have they been for the past few years?

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  3. Woodentop

    ARLA are for once right. Properties built before 1950’s will struggle to achieve a “C”, many only just squeak into an E and if one is in a rural community, particularly older build and limited mains services … forget it, unless you have substantial funds which in many cases will make renting non-viable. I know many G & F old properties that are outstanding condition, in high demand but fall short on energy saving compared to a modern build.

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