MPs claim EPC upgrades are no excuse for landlords to hike rents

MPs claim EPC upgrades are no excuse for landlords to hike rents

0:01 AM, 29th July 2025, About 4 months ago 35

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An Early Day Motion (EDM) to prevent landlords from hiking rents following EPC upgrades has received support from Labour and Green MPs.

EDMs are mainly symbolic and rarely debated in Parliament, but Labour MP Bell Ribeiro-Addy argues that the Renters’ Rights Bill does not do enough to protect tenants from eviction or rent increases after energy efficiency improvements to a property.

Generation Rent has previously claimed landlords can easily afford EPC upgrades because they are mortgage-free.

The Labour government has proposed that all private rented properties must meet an EPC rating of C by 2030, with a 2028 deadline for new tenancies.

Protect renters from rent increases

Ms. Ribeiro-Addy, who tabled the EDM, claims the Renters’ Rights Bill fails to protect tenants from rent hikes when landlords receive government grants for energy efficiency upgrades.

Green Party co-leader Carla Denyer and Independent MP Jeremy Corbyn are among the MPs who have signed the motion.

The MPs claim that government grants for energy efficiency upgrades should be classified as contributions made by the tenant, not the landlord, to protect renters from rent increases.

The motion says: “The Renters’ Rights Bill is a positive first step in addressing the power imbalance between tenants and landlords, but does not offer sufficient protections for renters in the case of retrofitting. We are concerned that, without further protections, renters, particularly those on low incomes, will not enjoy the benefits of a warmer home and lower bills.

“We believe the government should protect renters from rent increases through classifying grants as an improvement contributed by the tenant, not the landlord, at the First-tier Tribunal rent assessment process and protect renters from eviction through introducing a protected period from eviction after a government grant is used to retrofit a privately rented property.”

Landlords spend thousands of pounds on EPC upgrades

Despite MPs’ claims, landlords spend thousands of pounds on energy-efficiency improvements, with the average cost of upgrading a sub-C rated property to a C or above in England costing more than £7,000.

According to estate agents Benham and Reeves, despite the improvement being expected to create an annual energy bill saving of £280, it would take the average landlord an astonishing 26.4 years to meet the expected annual cash savings.

The government have also rejected an amendment in the Renters’ Rights Bill which would have given renters stronger protections against rent hikes when a landlord receives a grant.

The Labour government has also seemed to confirm that landlords can raise rents to pay for EPC upgrades, with Justice Minister Sarah Sackman confirming in Parliament that landlords can legally factor in the cost of improving a property’s EPC rating when setting ‘higher market rents.’


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Lomondhomes

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Member Since November 2020 - Comments: 42

9:35 AM, 29th July 2025, About 4 months ago

🤣🤣🤣. And government overspending is no excuse to put up taxes??? Unbelievable!

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Ray Guselli

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Member Since May 2022 - Comments: 76

9:50 AM, 29th July 2025, About 4 months ago

And increases in the cost of living are therefore no excuse for MP’s to have salary increases….

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Vance Harvey

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Member Since February 2025 - Comments: 15

10:12 AM, 29th July 2025, About 4 months ago

More IDIOT MPs demonising Landlords – which is why I’m selling up

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Freda Blogs

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Member Since July 2013 - Comments: 735

10:47 AM, 29th July 2025, About 4 months ago

“ The motion says: “The Renters’ Rights Bill is a positive first step in addressing the power imbalance between tenants and landlords”

What about addressing the risk and financial imbalance between tenants and landlords?

Who takes all the financial risk – the LL. Who gets the financial reward – the Tenant. That’s alright then – a win-win according to these buffoons. Bit of a worry that they’re running the country…

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Ian Narbeth

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Member Since July 2013 - Comments: 1951 - Articles: 21

12:26 PM, 29th July 2025, About 4 months ago

Labour and Green MPs to landlords: “We expect you to spend the equivalent of three to five years’ profit from your properties and not put up your rent. You may not have anything to live on for five years but who cares?”

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Beaver

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Member Since May 2018 - Comments: 1959

12:55 PM, 29th July 2025, About 4 months ago

Reply to the comment left by Ian Narbeth at 29/07/2025 – 12:26
So despite what the post says about landlords, I’m a landlord, I’m not not ‘mortgage free’ and I have to face facts. As a non-incorporated small portfolio landlord I can no longer offset my interest costs against rents and this fact has meant that in recent years I have had to increase rent more than would otherwise have been the case because of the combined effect of George Osbornes change in policy and increasing interest rates: These are real world facts that I don’t control.

The post is correct that Justice Minister Sarah Jackman has already confirmed in Parliament that landlords can legally factor in the cost of improving a property’s EPC rating when setting ‘higher market rents’ (with the exception that it was Sarah Jackman that confirmed this, not Sarah Sackman).
So this is just a fact that anybody who lives in the real world has to face…like the fact that increasing employers national insurance and the minimum wage at a time when many businesses are leveraged is likely to send many businesses to the wall and will not produce economic growth.

A lot of labour and green MPs don’t like facing the facts and they don’t live in the real world. The fact is that forcing landlords to meet EPC band C and banning landlords from accepting offers of rent above the advertised PCM rent are both going to drive up market rents.

And it is also a fact that some of the proposals in the RRB are going to clog up the courts and make the higher risk tenants even higher risk for a landlord than they were. A landlord’s only options when faced with high-risk tenants are:

(a) Don’t rent to high-risk tenants.
(b) Increase the rent to high-risk tenants to reduce the risk.
(c) Take out rent protection for high risk tenants and pass the cost of the insurance itself on as a rent increase.

The government has withheld the Justice Impact Assessment of the Renters Reform Bill demonstrating what effect it would have on the courts:

https://www.telegraph.co.uk/money/property/buy-to-let/labour-urged-publish-renters-rights-impact-assessment/

My prediction would be that along with the other factors in the RRB driving up rents, the proposals in the RRB will also increase the cost of rent protection insurance for those landlords still considering housing the economically less secure tenants.

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Reluctant Landlord

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Member Since September 2018 - Comments: 3334 - Articles: 5

12:57 PM, 29th July 2025, About 4 months ago

if the tenant signs to say they don’t want the upgrades so there is a 5 year exemption, then yes I wont need to up the rent for EPC improvements.
Sorted.

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Reluctant Landlord

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Member Since September 2018 - Comments: 3334 - Articles: 5

13:02 PM, 29th July 2025, About 4 months ago

Reply to the comment left by Beaver at 29/07/2025 – 12:55
makes you wonder it if is best to tell tenants that you can only confirm the rent once the risk of letting to them has been assessed by the insurers first.

Advertise a let as rent between a range £X – to £X, to be confirmed only once a full assessment has been made specific to the applicant.

That how car insurance works!

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Beaver

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Member Since May 2018 - Comments: 1959

13:20 PM, 29th July 2025, About 4 months ago

Reply to the comment left by Reluctant Landlord at 29/07/2025 – 12:57
Then you won’t have been forced to meet EPC band C: But in a free society it is reasonable that the tenant should have the right to request that the Band D property remains free of the EPC ‘upgrade’ in order that they can continue renting at the lower rent. Of course, society would be even more free if a tenant was free to rent band E or F properties as well.

The more left-wing politicians don’t really believe in a free society, or people having ‘rights’. The name was changed from ‘Renters Rights Bill’ to ‘Renters Reform Bill’. But it was never about renters needing rights so much as being about a bunch of left-wing control-freaks needing an electorate that perceived it was dependent upon them.

What most tenants want is a warm, comfortable and safe home with a condensing gas boiler, and that’s what most Band D properties in the PRS are.

But some of the Band F properties that owner-occupiers live in have modern condensing gas boilers and are still safe, comfortable and reasonably well ventilated (which is healthy).

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John Hudson

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Member Since January 2025 - Comments: 6

13:33 PM, 29th July 2025, About 4 months ago

Reply to the comment left by Beaver at 29/07/2025 – 12:55I suggest that options b and c are redundant.

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