Higher EPC exemption cost cap could push landlords out of the market – warns industry body
11 months ago | 7 comments
Landlords CAN raise rents to pay for EPC upgrades – Labour
9:45 AM, 29th May 2025, 11 months ago
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Labour has confirmed that landlords can pass the cost of mandatory EPC upgrades onto tenants – which could see renters paying £4,000 a year more, the Daily Telegraph reports.
Despite the Energy Secretary Ed Miliband’s insistence that landlords will not put up rents to pay for the EPC costs, a minister says landlords have grounds to ask for ‘higher market rents’.
The upgrade rules are part of Labour’s push for net zero, which mandates that all rental properties must achieve a minimum energy performance certificate (EPC) rating of C by 2030.
The government claims renters could save £240 every year on energy bills with better insulation.
However, the Conservatives have raised fears that annual rent rises of up to £4,000 could be imposed as landlords seek to offset the expense of upgrading older properties.
Landlords can legally increase rent
Despite Mr Miliband’s assurances that previous energy standards did not lead to higher rents, Justice Minister Sarah Sackman has confirmed in Parliament that landlords can legally factor in the cost of improving a property’s EPC rating when setting ‘higher market rents’.
She was responding to a question from Kevin Hollinrake, the shadow housing secretary, who wanted to know if rents can be increased legally if the tenant challenged the rise in court.
Ms Sackman stated: “Expenditure on the upgrading of an energy performance certificate to a higher level of energy efficiency is a material consideration, which may result, in certain circumstances, in a higher market rent being determined.”
‘Labour’s war on landlords’
The Conservatives have seized on the admission, warning that the policy could burden tenants with substantial rent increases.
Mr Hollinrake told The Telegraph: “Red Ed promised to reduce everyone’s bills but his mad dash to net zero is picking people’s pockets.
“Not content with sending bills skyrocketing, hardworking families’ rents are now in his crosshairs.
“Maybe this confession will make him finally realise that Labour’s war on landlords just leaves renters worse off.
“He needs to heed our calls to abandon net zero by 2050 and fast or working families and Middle England will continue to be clobbered by his eco cult.”
Help for landlords
Mr Miliband, however, has defended the policy previously and has pointed to government support schemes such as local grants and the boiler upgrade scheme to help landlords.
Speaking to LBC in February, he said: “There is some government help, we’re looking at what more can be provided.
“When this was done before with a less exacting standard, we didn’t see rent increases and half of landlords already do this.”
Ben Beadle, the chief executive of the National Residential Landlords Association, has urged a ‘realistic’ approach, highlighting a shortage of skilled tradespeople and the need for targeted financial support.
Rob Wall, the assistant director at the British Property Federation, described the 2030 deadline as ‘challenging’ and called for a ‘gentler trajectory’ to allow the sector more time to comply.
A Department of Energy Security and Net Zero spokesperson said: “Everyone deserves to live in a warm, comfortable home.
“We have recently consulted on plans to require private landlords to meet higher energy performance standards, which will help deliver cheaper-to-heat homes.”
Tags:
Ed Miliband net zero, Energy Performance Certificate, landlord rules, net zero insulation, rent increases UK, rental property upgrades., tenant costs UK
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Member Since September 2018 - Comments: 3514 - Articles: 5
12:30 PM, 29th May 2025, About 11 months ago
Reply to the comment left by David100 at 29/05/2025 – 10:54
if having a ‘warm home’ is a apparently a human right (?), why don’t we all send our heating bills to the government then?
Member Since May 2018 - Comments: 2016
12:37 PM, 29th May 2025, About 11 months ago
Reply to the comment left by Reluctant Landlord at 29/05/2025 – 12:30
The government isn’t interested in human ‘rights’ whether that’s the right to ‘warmth’ or anything else: The government taxes electricity at a higher rate than gas and electricity was already far more expensive than gas even before Ed and his mates rocked up.
The government is only interested in clinging onto power at all costs, even if that means continuing to lie to the electorate about the real effect of their policies: The government depends upon a disempowered electorate, not one with freedom, or ‘rights’.
Fortunately, unlike Russia, China or Korea, we still have free speech and a free press and are able to point out that the real victims of Ed’s net-zero-war will be tenants.
Member Since October 2023 - Comments: 204
12:45 PM, 29th May 2025, About 11 months ago
Reply to the comment left by Beaver at 29/05/2025 – 12:37
There is no such thing as “free speech” or “free press” in the UK anymore.
Covid proved that. Did you try to contradict the government line on social media during that time?
Shadow banned.
Net Zero is just the next in line.
The bought and paid for press, are onboard already.
Member Since May 2018 - Comments: 2016
1:45 PM, 29th May 2025, About 11 months ago
Reply to the comment left by David100 at 29/05/2025 – 12:45
I’m not a big fan of social media but as I recall during the Covid outbreak it was still possible to contradict the government line on Property118 as long as you were saying something about the impact of Covid that was relevant to being a landlord or a tenant….about the real consequences of rent freezes and eviction bans for example.
I have not noticed any activity on Property118 (either on the site or via any contact from any of the admins) that stops any landlord from pointing out that the victims of Ed Miliband’s Net Zero Crusade will be tenants. And the people bearing the brunt of the combined collateral damage of Ed’s War On Carbon Dioxide (obnoxious to Ed but much loved by pond-life) together with the Renters Reform Bill and the government’s contract with Serco to accommodate asylum seekers, will actually be social housing tenants in the poorer areas.
Congratulations again to Sarah Jackman for Speaking Truth to Government. Although I’m not sure whether they are really listening to that bit of truth from somebody who had the courage to say it, or just pretending to.
Member Since May 2018 - Comments: 2016
1:56 PM, 29th May 2025, About 11 months ago
Reply to the comment left by Beaver at 29/05/2025 – 11:57
Just in case any landlord here has an interest in Ed Miliband, CO2 and pond life, please note:
https://www.froglife.org/2021/04/22/ponds-against-climate-change/
“One study concludes that ponds may be more active in nearly all of these processes than large lakes, marine ecosystems and terrestrial ecosystems.”
Ed’s carbon-capture fantasy is a bit of nonsense.
If this government really wants energy security based on sustainable and renewable energy, the only way to achieve that is to empower the rank and file citizens of the UK to deliver it. And the inconvenient truth if you are a labour or SNP politician is that the only way to do that, given the cost of it, is via the tax system. Landlords with Band D properties already know that but the government prefers to believe the lies that the government is telling itself.
Congratulations to Sarah Jackman for starting to tell the truth. All power to her elbow….hopefully, more inconvenient truthes to come.
Member Since August 2016 - Comments: 1190
2:46 PM, 29th May 2025, About 11 months ago
Reply to the comment left by Beaver at 29/05/2025 – 11:57You forgot to include the Conservative Party leaders in with your list of socialists. They started the war on landlords and also the net zero insanity.
Member Since August 2016 - Comments: 1190
2:50 PM, 29th May 2025, About 11 months ago
Reply to the comment left by Beaver at 29/05/2025 – 12:37
Free speech ? You haven’t been paying attention.
Member Since September 2018 - Comments: 3514 - Articles: 5
2:54 PM, 29th May 2025, About 11 months ago
Reply to the comment left by Beaver at 29/05/2025 – 12:37
I get it. All the blub out of their mouths is only for the purposes of sound bits and ar$e covering.
As long as us LL’s still in the game, keep making sure we remind our tenants that any rent increases as directly linked to government policy then we prove we are not the bad guys.
When the time comes that al the props I have are subject to SL, then each and every T will be given the reasons why this cost will be added to the rent. If the government insist that it is to ultimately ‘protect all tenants’ then guess what…all tenants will end up paying for it. If they wish to complain, then I have also provided the contact details of the councillors that voted for it.
In addition when the RRB comes in and we have to send the T info about this, I shall also be giving them the direct contact details of their MP (who also voted in favour of this Bill) if they have any questions over why the associated costs of it all will inevitably be passed on via higher rents.
Mandating further compliance to achieve higher standards will always cost the end consumer!
Member Since May 2018 - Comments: 2016
2:57 PM, 29th May 2025, About 11 months ago
Reply to the comment left by Dylan Morris at 29/05/2025 – 14:46
I didn’t say that the Conservative party (i.e. George Osborne) were blameless, although in fairness George Osborne was only implementing policies formulated under Gordon Brown’s government.
Somewhere out there there MUST be a party that understands both enough about physics and the economics of the tax system to be able to comprehend that the only way to deliver any significant adoption of sustainable and renewable energy is to empower the electorate, not disempower it. That means capital allowances.
Member Since May 2018 - Comments: 2016
3:13 PM, 29th May 2025, About 11 months ago
Reply to the comment left by Reluctant Landlord at 29/05/2025 – 14:54
Of course mandating further ‘compliance’ [does this mean control-freakery?] to achieve higher standards will always cost the end consumer: That is unless a competent government puts the capital allowances in place and allow you to service the cost of the additional capital with your rents even if you aren’t incorporated (thereby empowering you as a landlord or owner-occupier to become part of a solution to the problem of energy security).
Imposing Ed’s Net-Zero-Nonsense on tenants just makes them the fall-guys for Ed’s ambitions.
And are the citizens of the UK really that free if somebody tells them that they are not permitted to rent a band E property even if they still want to?
Socialist governments don’t like having a free electorate. If they did then Angela Rayner wouldn’t have been postponing council elections:
https://www.telegraph.co.uk/politics/2025/02/05/angela-rayner-postpones-local-elections/