Propertymark calls for more landlord support in Warm Homes Plan

Propertymark calls for more landlord support in Warm Homes Plan

0:03 AM, 27th November 2024, About 6 days ago 2

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Propertymark has welcomed the government’s Warm Homes Plan, which aims to help homeowners save money on energy bills and improve home energy efficiency.

The plan includes grants for heat pumps, support for renters and low-income households, and a relaxation of planning permission rules for heat pumps in England.

However, Propertymark says it is concerned that the support for the private rented sector (PRS) is insufficient.

While the government has confirmed that landlords will be expected to meet EPC C standards by 2030, the financial support available to them is limited and subject to strict eligibility criteria.

Must offer parity for private landlords

Propertymark’s policy and campaigns officer, Tim Thomas, said: “The grant funding support for owner occupiers as part of the new Warm Homes Plan is welcome as is the commitment to reduce the burden on requirements for heat pump planning permission.

“While we are pleased to see limited support is on offer to decarbonise private rented properties, similar restrictions proved to limit take up from previous schemes.

“The UK Government must level the playing field and offer parity for private landlords.”

He adds: “With the clock ticking the government must also end the uncertainty on PRS exemptions and requirements for commercial landlords.”

Qualifying criteria for landlords

The qualifying criteria for landlords include having a tenant currently living in the property who is in receipt of a means tested benefit.

Or if their household gross annual income is less than £36,000.

If a landlord has a property where the tenant qualifies, they could receive full funding for the first property capped at £15,000 but would have to contribute 50% of the funding for additional properties.

Landlords or their agents would also be expected to sign a declaration saying they will not increase rent due to the funding.

Funding criteria should be streamlined

Propertymark has argued that the funding criteria should be streamlined to increase eligibility to all PRS tenancies – to help level the playing field with other housing tenures.

The introduction of the Warm Homes Plan also led to an announcement that the Government will consult on proposals for landlords to meet EPC by 2030.

However, Propertymark is also calling for urgent clarity on requirements for non-domestic commercial property.

The previous Conservative government said that non-domestic property must meet EPC B by 2030, but the energy secretary Ed Miliband has told Propertymark that the government is still considering if this policy was appropriate.


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Comments

Jo Westlake

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10:28 AM, 27th November 2024, About 5 days ago

A good first step would be for all eco upgrades to be tax deductible not a capital improvement.

I'm a huge fan of solar panels but the tax treatment is completely nonsensical. In a bills inclusive HMO imported electricity is a deductible expense but solar panels to create your own electricity are a capital improvement. Solar panels are very popular with tenants who pay their own bills as they can clearly see a tangible financial benefit.

I'm assuming a heat pump would also be treated as a capital improvement (as one doesn't previously exist) whereas a replacement gas boiler would be fully tax deductible.
I'm all in favour of upgrading where sensible and I've given up on the idea of any of my properties qualifying for grants (even though several tenants are on UC). The government need to do their bit and at the very least make these optional upgrades tax deductible.
Tenants are going to be very wary of heat pumps after so much media negativity, so we would have less choice of tenants. Why would we rush to install one, especially if we are having to pay for it out of tax paid income?

Planning permission is another barrier. Many modern estates have had their Permitted Development rights removed, so everything has to go through the Planning permission route with all the cost and delays that incurs. All 5 of my solar installations have required full planning permission. I wanted an air source heat pump that also does air conditioning (as I have solar panels) but couldn't get a definitive answer from the planning department if Planning permission was required or likely to be granted. I decided not to bother wasting my time and money pursuing it.
Clarity, consistency and no fees for eco installations would go a long way.

Reluctant Landlord

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15:07 PM, 27th November 2024, About 5 days ago

Landlords or their agents would also be expected to sign a declaration saying they will not increase rent due to the funding.
WTAF???

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