Legal Minimum Energy Efficiency Standard
The Energy Efficiency (Private Rented Property) (England and Wales) Regulations
The minimum level of energy efficiency for domestic private rented property in England and Wales is Energy Performance Certificate (EPC) Band E. The energy efficiency of a property can be found on the Domestic Energy Performance Certificate Register
Since 1 April 2018, landlords of domestic properties have not been permitted to grant a new tenancy, or renew an existing tenancy, for a property rated EPC F or G (unless an exemption applies). The landlord must improve the rating to minimum of EPC E (or register an exemption, if one applies) before letting.
From 1 April 2020, the minimum level of energy efficiency applied to all domestic privately rented properties covered by the Regulations, even if there had been no change in tenancy. So landlords may not continue to let properties with an EPC rating of F or G, even to an existing tenant (unless an exemption applies). Landlords are encouraged to take action immediately to ensure their properties meet or exceed EPC Band E if they have not done so already
If an exemption applies, landlords must register this on the Private Rented Sector Exemptions Register . Full details of exemptions are set out in the updated Domestic Landlord Guidance on Gov.uk.
The 2019 amending Regulations introduce a financial contribution component for landlords of EPC F- and G-rated homes in the private rented sector, capped at £3,500 (inc. VAT) per property.
Landlords are able to register on the Private Rented Sector (PRS) Exemptions Register for a high-cost exemption, if they meet the criteria. You can find more details about the changes in the Domestic Landlord Guidance (please see link above). Landlords will also be able to access updated advice on the Government-endorsed Simple Energy Advice website.
The Department for Levelling Up, Housing and Communities (DLUHC) has published guidance to help landlords understand their obligations.
