Heated debate in Commons over scrapping EPC targets for landlords

MPs clashed in a Commons debate on reaching net zero by 2050, with one MP calling the scrapping of EPC targets for landlords “unforgivable”

Energy Security and Net Zero Secretary Claire Coutinho told MPs the decision to do away with energy efficiency targets was driven by the financial burden it would have placed on landlords.

Estimated costs to carry out energy efficiency improvements could have seen landlords having to fork out between £10,000 – £15,000.

Cost property owners and landlords up to £15,000

Liberal Democrat MP, Wera Hobhouse, asked the Energy and Net Zero Secretary to allow landlords to offset spending on insulation against their income tax bills.

She said: “It is unforgivable that the government have cancelled the obligation for landlords to upgrade homes to an EPC grade C rating by 2028 at the latest.

“A comprehensive home insulation scheme would reduce bills and carbon emissions this winter. I am going to make a proposal that might sound quite attractive to Conservative ears because it is about incentivising and tax breaks.

“Will the Secretary of State consider allowing landlords to offset spending on insulation against their income tax bills? That would benefit tenants by enabling them to live in warm and comfortable homes.”

Ms Coutinho told the debate income tax relief was not the “best response”.

“The real-world reason for why we did not pursue energy efficiency targets is that it could have cost property owners and landlords up to £15,000, and we did not want to put further pressure on rents at a time when families are really struggling.

“With regard to the Hon. lady’s policy on income tax relief, I suggest that is not necessarily the best response, because a lot of landlords are pensioners and will not necessarily pay income tax.”

Cost renters an extra £300 a year

Other MPs also criticised the government’s watering down on energy-efficiency targets.

Green party MP Caroline Lucas told the debate tenants will struggle to pay bills.

She said: “We have heard from the Climate Change Committee that the changes when it comes to landlords and efficiency standards in homes will cost renters an extra £300 a year.

“The Office for Budget Responsibility is clear that, as a result of the changes that are going to be made, our dependence on gas will cost us more.”

Ed Miliband told the debate: “The government now say that landlords will not have to insulate homes, but as the Climate Change Committee points out, these regulations would have reduced renters’ energy bills significantly.

“Moreover, the cost savings would have outweighed any changes in rent. Therefore, they are not lowering costs; they are raising them.”