Government claims EPC C targets will help tenants

The government also promised to stop the boats, make everyone wealthier, save the NHS and I think everyone was going to get a free unicorn – but I may have misheard that, but is about as likely as actually ‘helping’ tenants.

A few people might save a few quid on energy bills but how many are going to have to fork out thousands in moving costs and higher rent because their landlord decides to sell rather than spend thousands on upgrades that aren’t tax deductible? Don’t forget Section 24 has artificially catapulted many landlords into a higher tax band than they would be in if rental profits were calculated in the same way as every other industry enjoys. To finish up with £10K of tax paid income (from which to pay for EPC upgrades) a 40% tax payer needs nearly £17K of taxable profit. With Section 24 that’s probably closer to £20K of extra rent.

There’s a much easier way for tenants to save at least as much on energy bills. Engage with time of use tariffs and be mindful of energy consumption. Batch cook, use a slow cooker, wait until the washing machine is full, use a heat pump tumble drier, learn how to use a heating programmer, learn about kilowatt consumption, look up energy saving advice from reputable sources (not Tiktok or anyone who suggests drying laundry on airing racks).

Great save the tenants on average £17 per month, however their rent will increase by around £100 per month due to landlords extra costs.
If costs are 12k on a property in order to do meet the c energy rating, I will have to put rent up by £100 per month to recover my costs over a 10 year period.
Tenant better off ? I don’t think so!

The government (especially certain ministers) have adequately demonstrated their lack of understanding of the housing market.

Here’s the deal…

If landlords make sufficient profit after tax to whet their appetite, they will continue to provide homes for those that cannot buy their own.

If landlords don’t make sufficient profit, they’ll quit

Owner-occupied homes are more likely to be under-occupied homes than PRS homes (see English Housing Surveys).

Landlords selling up adds to the housing crisis.

3 years and 7 months to go.

It wont “help” tenants.
What it will do is remove all the lower cost options for tenants.
Those properties too expensive of difficult to upgrade, will be sold out of the PRS.
Those properties that can be upgraded, will have rents increased to cover the cost.
Its just removing the whole lower priced section of the PRS.

I really do not see how I can achieve this in many of my properties with the tenant in situ. Does anyone know if I can get the property back on a section 8 as I would need an empty house to insulate every wall and make good again

There are many of us landlords who already have invested over the years to bring our properties up to the minimum of C. We have not been profit hungry landlords, we have sensibly invested in the property to help keep the value, ensure rent returns are adequate and show that we are good landlords to our tenants..

The comments in the article are absolutely ludicrous , it isn’t that rents are always higher and people can’t afford them, it is that they don’t earn enough, that the minimum wages are held down, that people are not up/skilling, that technology is replacing people and therefore people are only required at lower cost. It also doesn’t stop the tenants having the best Phone every year or where they smoke, vap or drink heavily, or having holidays.

With the older generation have learned to moderate our spend, only obtain what is necessary, rather than racking up huge credit card debts.

We have a huge shortage of evening staff or waiting staff which those are lower income persons could do as a second job or if they’re not working all day and their partner is, they could do in the evenings. These are things that we’ve all done in the past and the current generations think they can just sit there and take it and ask for more.

Like many landlords who are currently trying to sell up but won’t accept the ridiculous cash offers of 80% of the current value by many of the so called rogue Companies out there and because the market is absolutely swamped in certain areas of the UK. We have to continue to rent for the next few years through this mess due to government. In adequacies.

It would be nice to see somebody add up the implications of all additional administration, investment ( funded from borrowing), services, new legislation and taxation requirements on a landlord. Take that visa the average return which is getting smaller and smaller and then demonstrate that either landlords are only just covering costs plus a small profit which doesn’t make it viable or many landlords will be on a critical red line.

The impact of which will mean an increased number of section 8’s and a deepening of the housing crisis.

”72% say higher rents could be used to offset additional costs or risks.”. This sounds reasonable until you realise that tenants paying higher rents will be more incentivised to move on to a cheaper place or might default on payments, especially if their employment circumstances change. The landlord is then faced more frequently with the costs of voids and risks associated with finding new tenants.

No tennants will save any money at all.

Energy companies when they see a drop in income, will start to raise unit rates. They’re a business!

The only ones that will benefit will be the government in receipt of extra VAT collected in LL’s making their homes compliant, extra tax for the profits on purchases from those businesses, extra tax from LL’s increasing rent to cover these costs.

Make it expensive for LL’s means only one thing. Higher rents to cover those costs. Period!