PRS homes make energy-efficiency progress as thousands still remain below EPC C

More than 90,000 PRS homes in England and Wales have improved their EPC ratings to C or above, but almost 160,000 remain below the threshold, according to new research.

Data from Upgraded Intelligence reveals that 90,830 of the 250,017 homes that initially had an EPC rating below C were rated C or above on their latest certificate, representing around 36%.

However, this means that 159,187 properties (64%) remained below EPC C, underlining the number of PRS homes that have yet to improve their energy efficiency ratings.

Most improved homes started at D

Hakim Parr from Upgraded Intelligence said that while the research does not establish how much landlords have spent on energy-efficiency improvements, it shows that many of the properties that achieved a higher rating were initially only one band below C.

He said: “Nearly three-quarters of the homes that moved up to C or above started at D, just one band away. A more efficient boiler or better insulation can lift a rating, and a fresh assessment can give credit for insulation that was already there if the assessor has better evidence. The certificates alone can’t tell us whether landlords are spending more.

“Around 159,000 of the homes that started below C were still below it on their latest certificate. That’s a lot of homes in this group alone. A property a few points short of C can need very different work from one several bands away.”

Upgraded Intelligence also analysed official Energy Performance of Buildings data, finding that more than 7.6 million homes in England and Wales had at least two usable EPC certificates linked to the same property reference.

Of these, more than 3.1 million homes (41.3%) had a higher energy rating on their latest certificate, while around 3.4 million (44.5%) retained the same rating.

Older buildings will struggle to meet EPC C target

The news comes as the government has proposed all PRS homes must meet EPC C targets by 2030.

The government also plans a property value adjustment exemption for homes worth less than £100,000, reducing the maximum required investment to 10% of the property’s value.

As previously reported by Property118, Propertymark has welcomed the £10,000 cost cap but warned that many older buildings will still struggle to meet the required standard within the limit.

Timothy Douglas, head of policy and campaigns at Propertymark, explains: “We support the proposed extension of exemptions to 10 years within the £10,000 cost cap framework, as it offers landlords greater certainty and more time to plan improvements strategically.

“However, Propertymark has consistently argued that many properties will still struggle to achieve EPC C within the proposed cap, particularly older buildings requiring extensive retrofit works.

“Landlords need clearer guidance, long-term policy stability, and greater financial assistance if the sector is to meet the 2030 deadline without unintended consequences for housing supply.

“Targets should also be linked to the age and archetype of properties to ensure homes become as energy efficient as possible without losing much-needed rental stock from the private rented sector.”