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Energy Efficient plans scrapped for Landlords

It was planned that landlords would have to bring their properties up to a minimum EPC rating of C by 2025 for new tenancies and 2028 for existing tenancies.

Landlords will no longer be required to improve the energy efficiency of their rental properties as the government has scrapped plans to introduce new minimum standards.

The announcement was made as part of prime minister Rishi Sunak’s green review, which included an overhaul of measures designed to meet net zero targets.

Some landlords will be relieved that these plans have been scrapped. Many were concerned about the prospect of a short deadline to improve the energy efficiency of their properties, as well as the associated costs.

Rules might not be changing as soon as 2025, but professional landlords with modern, energy efficient stock will be in the best position to attract tenants, as well as reduce potential voids, and importantly, be prepared for future legislative change. Also it is worth pointing out that this decision does not mitigate the obligation to ensure all rentals do not have a category 1 hazard fro Excess Cold under HHSRS.

Alongside the decision to scrap new energy efficiency measures, Rishi Sunak also announced that:

·       boiler upgrade scheme grants will be increased by 50 per cent to £7,500

·       the ban on installing oil and Liquid Petroleum Gas (LPG) boilers and new coal heating for off-grid homes has been delayed from 2026 until 2035

·       an exemption will be introduced for households who struggle to switch to heat pumps from 2035 (expected to cover around a fifth of homes)

While this is, in the short term, a reprieve for landlords already hit by the cost-of-living crisis, the question of what will happen long-term still remains & landlords are urged to ensure their properties are safe, decent and fit for human habitation.

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