Rachel Reeves faces £7,550 bill to upgrade EPC rating on her rental home
4 months ago | 6 comments
Agents urged to take the lead over tougher landlord EPC rules
12:01 AM, 11th December 2025, 4 months ago
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Letting agents and mortgage brokers are being pushed to the forefront of preparations for tighter EPC rules, with one leading industry figure warning that many landlords still lack the guidance needed to meet the proposed deadlines.
Dr Neil Cobbold, the commercial director at Reapit, told viewers of Eco Approach’s recent ‘Green homes – how can landlords prepare for stricter energy efficiency standards?’ webinar that the shift to higher EPC standards places fresh responsibility on agents and brokers.
He said they are well placed to educate landlords, point them towards finance options, coordinate retrofit work and use portfolio data to spot both risk and investment potential.
Using advanced EPC tools
After the session, Mr Cobbold said: “Agents have an important role to play.
“With access to advanced EPC reporting tools, they can easily identify the properties in their portfolio that need retrofitting, and they also have access to trusted contractors who can carry out the work.”
He added that collaboration with specialist brokers is becoming increasingly important.
Mr Cobbold said: “By partnering with specialist brokers, agents can further access advice on a range of financial products that allow landlords to improve the energy efficiency of their properties, giving landlords a professional support network to help them reach the higher EPC C standard.”
EPC could deliver landlord clients
He also argued that proactive agents could even grow their earnings during the retrofit push.
He added: “Agents who embrace this role could unlock a significant new revenue stream.
“With the cost of the PRS retrofit programme estimated at £24bn, those who combine technology with industry expertise stand to earn substantial commission while strengthening long-term relationships with landlords.”
PRS EPC inertia
Reapit’s analysis of a representative sample of agency-managed PRS homes revealed that 51.5% sit below EPC band C, with 17.4% rated E, F or G.
Mr Cobbold told the webinar that a mix of policy uncertainty, rising costs and limited retrofit capacity is creating ‘inertia’ across the sector.
He added: “There is a nervousness over timeframes, which is creating a supply and demand issue, which in turn causes extra financial pressure for landlords who are looking for a solution.
“All of this uncertainty makes it more difficult for us to do what needs to be done – make these homes more energy-efficient and help people not only in making their homes better but actually taking them out of fuel poverty.”
Property118 commercial reality check
EPC reform will reward the landlords who plan early and penalise those who wait for certainty. Policy noise is outside your control. Preparation is not. The retrofit cycle favours owners who model cash flow, lock in contractor capacity and treat energy upgrades as balance-sheet decisions rather than compliance headaches.
What serious landlords should do next
Document and audit readiness
Map every unit against current EPC rating, projected spend and expected uplift in rental resilience. Build a simple schedule with dates, cost bands and contractor lead times so you control sequencing rather than react to it.
Smart refinancing
Review existing debt now. Energy-improved stock often supports stronger valuations, which can open lower-cost refinancing windows and free working capital for further upgrades.
Structural planning
Check whether works should be commissioned through your company structure to optimise tax treatment, liability management and borrowing flexibility.
Capital redeployment
Direct capital towards assets offering the best efficiency-to-yield ratio. High-cost retrofits on weak performers can drain future optionality. In some portfolios, selective disposals can be a strategic way to rebalance gearing and reinvest into stronger stock. If you are considering selling, it is worth reviewing this guide on calculating Capital Gains Tax before making any decisions: https://www.property118.com/why-every-landlord-should-calculate-cgt-before-selling-a-single-property/
Securing contractor capacity
Book surveys and quotes early. Retrofit supply chains remain tight, and disciplined scheduling protects you from price spikes and delays.
Tags:
EPC C deadline, EPC rules, Landlord Compliance UK, landlord retrofit costs, MEES rules, PRS energy standards, Reapit energy efficiency, UK lettings agents
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Tenancy pre 2007 not put into a deposit scheme?
Member Since July 2023 - Comments: 9
11:28 AM, 11th December 2025, About 4 months ago
What does a small landlord owning 2 properties do that is just about to retire and does not have the money to upgrade the property from a D to a C? sell? The properties were built in 1906 with large proportioned spacious rooms, large bay windows with thick granite walls and attractive period features. The cost would be extortionate to put in wall insulation as was suggested, the tenants would have to move out. All this will result in, is landlords moving back into their properties or selling. We have very happy tenants that have lived there for years and the properties are well looked after, we use a reputable agent and are good landlords but feel that we are being persecuted for just trying to do the right thing. Ironically the two properties were originally owned by the local council who let it get into such disrepair that they were condemned, so my husband bought it toiled and spent a lot of money to bring it back into a liveable space and so here we are potentially with the prospect of having to evict 4 tenants due to the ridiculous epc rules that will be a far to heavy financial cross to bear for a lot of small landlords.
Member Since September 2018 - Comments: 3508 - Articles: 5
9:49 AM, 12th December 2025, About 4 months ago
the answer is….keep rents below the market rate for existing tenants. The way its going many will be forced to stay where they are as there are going to be very limited rentals available.
Explain that if you are mandated by the government to carry out EPC works to be able to keep renting the property to the tenant, this will cost, and so the cost will have to be funded by the occupant as clearly they will reap the benefits of this.
That being the case, explain the disruption, the inconvenience and just exactly what the ‘energy savings’ would be (you can use their won consumption on last bill if they let you – to get a good idea). Then explain the cost of the works and how this will increase the rent by £X per month.
Then just ask the tenant to sign a letter to say they do not give permission for any work EPC work to be carried out to the property.
There you have your 5 year exemption. If tenant still there in 5 years you can re-apply. If the tenant moves out within the 5 years then you have an empty property.
The government will have DEFINATELY changed by then and so will your options. Either way you can make a qualified decision without being forced into making forced EPC upgrades if you don’t want to.