Landlords could go to prison if they don’t meet new energy rules

Landlords could go to prison if they don’t meet new energy rules

16:29 PM, 8th September 2023, About 8 months ago 25

Text Size

The government is considering imposing prison sentences on landlords and property owners who do not comply with stringent new energy efficiency regulations – a move that has infuriated some MPs.

In a bid to meet its net-zero targets, ministers want the authority to establish fresh criminal offences and escalate civil penalties.

Under the proposed rules, anyone who doesn’t comply with energy consumption regulations could potentially face up to one year in prison and fines of up to £15,000.

That means a landlord who doesn’t fit a heat pump to a property to meet tighter energy rules could, potentially, be facing a prison sentence.

However, Tory backbenchers have expressed concerns over the plans which passed their third reading this week, fearing that they might lead to the criminalisation of homeowners, landlords and businesses.

Proposals are part of the government’s Energy Bill

These contentious proposals are part of the government’s Energy Bill, and it includes provisions for ‘the creation of criminal offences’ for those who fail to comply with energy performance regulations.

A property owner could also face prosecution for providing false information about energy efficiency or obstructing enforcement authorities.

The Energy Bill will replace and strengthen regulations for Energy Performance Certificates (EPCs), which were previously based on now-repealed EU law.

EPCs are mandatory whenever a property is sold or rented out.

However, the Energy Bill makes clear that inspectors will have the powers to order a landlord or homeowner to carry out improvements and stop the property from being sold until the improvement work is carried out.

Those improvements could include the fitting of heat pumps, double glazing, loft insulation and smart appliances.

Necessary to amend existing criminal offences

Government officials argue that these expanded powers are necessary to amend existing criminal offences within the current regulatory framework.

Ministers are giving themselves the authority to revamp and enforce the system, with consultations to determine the specific changes still to come.

But that creation of power has created alarm among Tory MPs who fear handing Ministers the ability to create a new offence with little Parliamentary scrutiny.

Craig Mackinlay leads the Net Zero Scrutiny Group, and he has tabled an amendment to remove the ‘open-ended and limitless’ powers from the legislation.

He told The Telegraph: “The Bill is festooned with new criminal offences. This is just unholy, frankly, that you could be creating criminal offences.

“The ones we’ve found most offensive are where a business owner could face a year in prison for not having the right energy performance certificate or type of building certification.”

Use of statutory instruments to create new offences

Sir Jacob Rees-Mogg, a former energy secretary, told the newspaper that the proposed use of statutory instruments to create new offences was unacceptable.

He said: “Criminal offences are an exceptional use of the state’s power and therefore require the fullest constitutional scrutiny.

“The whole Bill is about piling costs onto consumers. It’s as if Uxbridge and the vote against Ulez had never taken place.”

MPs fear that the new statutory powers for Ministers might simply be ‘nodded through’ without Commons approval.

‘No plans to create new criminal offences’

A government spokesman told The Telegraph: “We have no plans to create new criminal offences, and any suggestion otherwise is untrue.

“Energy certificate legislation originated in EU laws, and our amendments ensure landlords, businesses and tenants are provided with the information they need to make their own decisions on energy efficiency in their buildings.”

The Department for Energy Security and Net Zero declined to comment.


Share This Article


Comments

Teessider

11:25 AM, 8th September 2023, About 8 months ago

The Tories don’t have time to implement new policies before the next General Election.

They’re busy making as many sycophant life peers and dishing out knighthoods to all and sundry before they are consigned to history.

Sadly, there’s nothing better available. But certainly, nothing much worse.

Ian Narbeth

11:32 AM, 8th September 2023, About 8 months ago

I thought it was bad enough threatening landlords with massive fines for letting a property that was below the threshold. This takes the biscuit.
I predict the following consequences. The Government will say they are unintended. They are however, entirely predictable. Landlords with properties that do not meet the threshold and which cannot be 100% guaranteed to do so at reasonable cost will take their properties off the market and, for the time being, will serve section 21 notices.
It would be prudent of landlords who don't want to fear bending over in the shower to evict their tenants now.

Teessider

11:46 AM, 8th September 2023, About 8 months ago

Reply to the comment left by Ian Narbeth at 08/09/2023 - 11:32Exactly.

The EPC assessment system isn’t fit for purpose and shouldn’t be used as evidence to fine anybody.

I predict more properties being used as Furnished Holiday Lets or left empty. If the improvements are not affordable and the property cannot be let or sold, Local Authorities should (compulsory) purchase the properties and demolish them to build modern homes.

Meanwhile, how many MPs will go to prison for failing to fix the unsafe concrete issues.

nekillim200

11:49 AM, 8th September 2023, About 8 months ago

Reply to the comment left by Teessider at 08/09/2023 - 11:46
Don't forget the cladding, that still has not been fixed!!!

JaSam

11:59 AM, 8th September 2023, About 8 months ago

Want to send any one to prison how about the CEO’s of the water companies dumping waste in our seas!

northern landlord

12:33 PM, 8th September 2023, About 8 months ago

While landlords keep a wary eye on this sort of thing I suspect that many other members of the public have no idea that this is going on. The public should be worried about this but there is apathy. In a few years we will hear the refrain “First they came for the Landlords but I didn’t care as I wasn’t a Landlord but then they came for me”.
Faced with EPC upgrades and heat pumps many landlords of cheaper properties in terms of value and rents charged will be faced with losing 3-4 years or more rent to carry out upgrades. The option of raising rents to recoup charges in a reasonable time is not there as the tenants won’t be able to afford it, they will go into arrears and be evicted. That is if, in the future you are actually allowed to raise rents, evict tenants or even sell up, who knows what additional measures will come in to deprive landlords of their own property once the homelessness situation really bites and the shanty towns and cardboard cities start to appear?

Dylan Morris

12:38 PM, 8th September 2023, About 8 months ago

Am I reading this right a landlord who wants to sell his previously rented property with vacant possession (tenant has left) because he cannot or does not want to get it up to an EPC rating of C will actually be prevented from selling it ?

Ian Narbeth

12:47 PM, 8th September 2023, About 8 months ago

Reply to the comment left by Dylan Morris at 08/09/2023 - 12:38
No, that's not the case. It's only private landlords who may be victimised.

Mike

13:46 PM, 8th September 2023, About 8 months ago

I think I will prefer to go to a prison, get free meals rather than be forced to adapt to draconian rules.
My freedom of choice is far more important to me than any form of Dictatorship, so I will be making the choice of my free will to go to prison. I would most probably also know how to escape by tying myself under a food delivery truck. Easy as that.

Andrew Mcgaulley

13:53 PM, 8th September 2023, About 8 months ago

Good luck to any party putting that in their manifesto, their will be more chance of platting fog than winning the election.
On a more serious note, what planet are these idiots living on, because it certainly isn't Earth.

1 2 3

Leave Comments

In order to post comments you will need to Sign In or Sign Up for a FREE Membership

or

Don't have an account? Sign Up

Landlord Tax Planning Book Now