February 1, 2018
Property gossip August 2016

The newly-published guidance for the government’s proposed new minimum energy efficiency standard is starting to draw attention, and with only a few months left before its arrival, many landlords are starting to ask questions.

As from April 2018, landlords whose properties have a poor Energy Efficiency Rating will need to act if they are to grant a new tenancy.

That’s because, under the new rules, a property cannot be let out if it falls below a rating of E. In other words, if the energy efficiency rating on your Energy Performance Certificate lists as an F or G, you will not be able to offer a new tenancy to either a new or existing tenant. Failure to observe these rules will see you liable to a fine by the local authority, in which the property sits.

This comes under the Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015 and is issued by the Department for Business Energy and Industrial Strategy.

This is phase one, with other changes due in from April 2020, again affecting the rental market. We can also report that the Committee on Climate Change has called for homes with poor energy performance to be banned from the sales market, with owners having to upgrade them before being allowed to sell. We are keeping a close eye on developments; however right, for us, our focus is on our landlords.

There are some exemptions, and we wouldn’t rule out a few last minute changes before 1st April 2018, but with time running out, we recommend landlords begin looking into this sooner rather than later.

The crackdown on private rented properties is because the government says this is the sector with the highest number of poor performing EPC ratings.

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