Renters should reclaim rent if EPC standards are missed – Generation Rent

A tenant group has put forward so-called “common sense proposals” that would allow renters to reclaim rent if their landlord fails to meet EPC standards.

Generation Rent’s Raising Standards, Not Rents report sets out a number of policy recommendations to the government, claiming “landlord lobbyists” have consistently opposed meeting energy-efficiency targets.

The news comes as the government has announced that all private rented properties will need to meet EPC C standards by 2030.

Common sense protections in place for renters

Ben Twomey, chief executive of Generation Rent, said: “Getting this policy right will be crucial. Many powerful forces have criticised the push towards net zero in recent years, claiming it will cost those who can least afford to pay, while landlord lobbyists have long claimed that they will have no choice but to hike rents after retrofit work.

“Improving the energy efficiency of private rented homes therefore sits at the intersection of social justice and climate change. If the government chooses to leave renters vulnerable to sudden, unaffordable rent increases, it will only add weight to these criticisms.

“But we can imagine another reality, one where the government chooses to put common sense protections in place to allow renters to enjoy the benefits of their new warmer homes and cheaper bills.

“This will show unequivocally that social justice and climate change policies can work side by side, directly benefitting the day-to-day lives of working people, while helping to lower emissions and protect our planet.”

Rent repayment order and eviction protection

One of Generation Rent’s proposals includes allowing tenants to claim a rent repayment order if their home doesn’t meet EPC C from 2030.

The group claims this would encourage renters to “hold landlords to account” and reduce pressure on council enforcement teams.

Other proposals include raising awareness among renters of the new minimum energy efficiency standards, including improving awareness of circumstances where a tenant would benefit from challenging a rent increase due to the potential discount that the Tribunal would apply if the home is of lower quality.

The group urges the government to prevent landlords from pressuring renters into applying for exemptions. It claims the government “should publish comprehensive guidance for both tenants and landlords, explaining their respective rights, obligations and responsibilities, and available recourse if issues arise”.

Other policy recommendations include more funding for councils to enforce the new energy-efficiency standard and introducing a protected period from eviction after a government grant or loan is used to fund retrofit work.

Substantial and costly upgrades

However, Generation Rent has overlooked the fact that, for many landlords, the costly upgrades required will prove challenging, particularly for older properties.

As previously reported by Property118, industry experts have warned that the EPC C targets are deeply concerning for landlords, due to a lack of clear and long-term funding commitments.

Timothy Douglas, head of policy and campaigns at Propertymark, said: “While the ambition of the Warm Homes Plan to improve energy efficiency and tackle fuel poverty is acknowledged, the proposals as they stand are deeply concerning for landlords and agents across both the residential and commercial sectors.

“In the private rented sector, landlords are being asked to deliver, in many cases, substantial and costly upgrades to reach EPC C by 2030, yet this is being imposed without clear, long-term funding commitments, realistic delivery timescales, or sufficient flexibility for older, complex, and hard-to-treat properties.”