Articles

What Landlords Need to Know about the upcoming Domestic EPC Score Changes?

Read time: 3 minutes
March 3, 2025

The UK government has launched a consultation on Minimum Energy Efficiency Standards (MEES), proposing significant EPC changes for the private rented sector (PRS) in England and Wales. These updates aim to enhance energy efficiency in rental properties, reduce carbon emissions, and improve tenant living conditions. But are these changes realistic for landlords, and what challenges might they face?


What Are the Proposed MEES Changes?

The government is considering raising the EPC (Energy Performance Certificate) rating requirement for rental properties from E to C by 2030. This change aligns with the UK’s broader net zero goals and seeks to improve the energy performance of rented homes. Around 48% of privately rented properties meet this standard, but thousands of landlords will need to upgrade their properties to comply.

While the aim is clear-cutting emissions and reducing tenants' energy bills—does the timeline provide enough flexibility for landlords to make the necessary investments?

To meet the new EPC requirements for landlords, improvements may include loft insulation, double glazing, upgraded heating systems, and better wall insulation. The government is encouraging a fabric-first approach, prioritising insulation before adopting renewable energy solutions like heat pumps or solar panels. But in older, harder-to-retrofit properties, how feasible is this approach?


How Much Will It Cost?

One of the biggest concerns for landlords will be the cost cap for energy efficiency upgrades. The consultation proposes an increased cap of £15,000 per property, a substantial rise from the previous £3,500 cap. For landlords with multiple properties, this could mean a significant financial burden.

An affordability exemption may be available, capping costs at £10,000 for landlords with lower-income properties. While this may help, it still represents a major investment for many. Will this lead to higher rents as landlords try to recover costs, and what impact could that have on affordability in the rental market?

To ease financial pressure, the government is exploring energy efficiency grants for landlords, including access to schemes like the Boiler Upgrade Scheme and the Warm Homes: Local Grant. But will these schemes be enough to bridge the funding gap?


Compliance Deadlines and Fines

The proposed timeline for implementation is as follows:

  • 2028: All new tenancies must meet EPC rating C.
  • 2030: Existing tenancies must also comply.

While this phased approach gives landlords time to plan, it also raises questions about supply chain readiness. Will there be enough qualified installers and materials available to meet demand, or could we see delays and price hikes as deadlines approach?

Failure to comply could result in increased EPC compliance fines for landlords, with penalties rising from £5,000 to £30,000 per breach. Local authorities may also gain additional enforcement powers to publicly disclose non-compliant landlords. The question is—will enforcement be strict enough to ensure compliance, or will some landlords find ways to avoid the rules?


How Can Landlords Prepare?

Landlords should assess their properties now to determine what energy efficiency improvements are needed for the upcoming EPC changes. Early action can help avoid last-minute costs and future-proof rental properties against tightening UK energy efficiency legislation. However, with unclear details on funding support, should landlords hold off until more clarity is provided?

The consultation remains open until 2 May 2025, and landlords, tenants, and industry professionals are encouraged to provide feedback on these proposed PRS energy efficiency consultation measures.


Final Thoughts

The upcoming rental property regulations for 2030 mark a critical shift in EPC changes for landlords. While the changes present financial challenges, they also offer opportunities for long-term energy savings, higher property value, and a greener private rented sector. But are these benefits enough to outweigh the costs, particularly for smaller landlords?

What do you think—are these regulations achievable, or do they risk driving landlords out of the market?

For full details and to participate in the Government MEES consultation 2025, visit the official UK Government page.

Are you a landlord or property professional? Would knowing exactly how to improve your building be a valuable service? Check out our MEES Uplift Service which tells you exactly what to do to achieve an EPC rating which is compliant and future-proofed.

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