Energy Performance
Energy Performance Certificates (EPCs) are essential documents that provide information on a property’s energy efficiency. As a landlord, you must comply with EPC regulations to ensure your property meets legal requirements. Below, we outline the key obligations, exemptions, and penalties related to EPCs.
When Must a Landlord Provide an EPC?
Landlords are required to provide a copy of a valid EPC to tenants for all rental properties, except those that fall into specific exemption categories. Failure to provide an EPC can lead to enforcement action and may invalidate a landlord’s ability to serve a Section 21 notice to end a tenancy.[1]
Buildings Exempt from EPC Requirements
EPCs are not required for the following types of buildings:[2]
- Buildings officially protected due to their designated environment, architectural, or historical significance, where compliance would alter their character or appearance.
- Places of worship.
- Temporary buildings with planned use of two years or less.
- Industrial sites, workshops, and non-residential agricultural buildings with low energy demand (e.g., barns or cow sheds).
- Stand-alone buildings with a total useful floor area of less than 50 square metres.
- Residential buildings used for fewer than four months annually or with low annual energy consumption.
Minimum Energy Performance Standards (MEES)
Under the Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015, all rental properties must meet a minimum energy performance rating of E:
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Effective Dates:
- From 1 April 2018, the requirement applies to new tenancies and renewals.
- From 1 April 2020, it applies to all existing tenancies.
-
Prohibited Lettings:
Landlords are prohibited from letting properties that fall below an E rating unless an exemption applies. Breaches of this requirement can result in civil penalties of up to £5,000. -
PRS Exemption Register:
Landlords wishing to rely on an exemption must register the property and provide evidence on the PRS Exemption Register. Common exemptions include:- Consent Exemption: Where a tenant refuses to consent to improvements, or necessary third-party consent (e.g., planning permission) is denied or unreasonably conditional.
- Cost Exemption: Where improvements exceed cost thresholds or funding options (like Green Deal) are unavailable.
Penalties for Failing to Comply with EPC Requirements
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Section 21 Restrictions:
Landlords cannot serve a Section 21 notice to end a tenancy if an EPC has not been provided. This restriction is lifted once the EPC is supplied.[2] -
Civil Penalties:
Local authorities may issue penalties of up to £5,000 for breaches of MEES regulations.
Appealing a Penalty Notice
Landlords can appeal penalty notices to the First-tier Tribunal within 21 days of the notice being served. Grounds for appeal include:
- The penalty notice was issued based on an error of fact or law.
- The penalty notice does not comply with the regulations.
- The penalty notice is inappropriate in the circumstances.
Additional Responsibilities for Energy Efficiency
Landlords must also comply with broader energy efficiency and safety standards, including:
- Gas and Electrical Safety: Ensuring all heating and electrical systems are safe and compliant with regulations.
- Insulation and Heating: Providing adequate insulation and efficient heating systems to maintain tenant comfort.
- Energy Efficiency Improvements: Taking reasonable steps to enhance energy efficiency, such as installing double glazing or upgrading boilers.
Why Energy Performance Compliance Matters
Ensuring compliance with EPC and MEES regulations is essential for landlords to:
- Avoid fines and legal disputes.
- Improve tenant satisfaction and property desirability.
- Reduce energy costs and environmental impact.
Contact Landlord Advice UK
If you need expert guidance on EPC requirements, exemptions, or MEES compliance, Landlord Advice UK is here to help. Our team provides tailored advice to ensure your property meets all legal standards, helping you avoid penalties and disputes. Contact us today for professional support.
[1] Regulation: The Assured Shorthold Tenancy Notices and Prescribed Requirements (England) Regulations 2015 and Section 39 of the Deregulation Act 2015.
[2]Regulation 5 Energy Performance of Buildings (England and Wales) Regulations 2012 SI 2012/3118.
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