Surely I am not the only landlord worried about new EPC requirements?

Surely I am not the only landlord worried about new EPC requirements?

9:44 AM, 17th February 2021, About 8 months ago 154

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Hello, I was wondering if Property118 could shed some light on the new proposed changes to the EPC requirements – my understanding is that over the next few years 2025 onwards, properties in the PRS have to be rated a C as a minimum. Currently, has to be above an E.

My worry is that the government seems to be applying this rule to all properties regardless of age, although I think it may be different if it is listed. It is not difficult for a new property to meet the requirements of a C or about.

However, as the owner of several Victorian terraces, it is much more difficult if not impossible to get this rating. For example, we do not have cavity walls. I have done all the usual things like loft insulation, double glazing, energy-efficient boilers etc etc but other suggested improvements seem to be a lot of outlay for very little impact on the EPC.

For example, I think the only improvement that has been suggested is using solar panels, but the property is not suitable for solar panels.  I am concerned that I may not be able to meet the new requirements despite my best efforts.

Surely I am not the only landlord who is worried about this?

Is there a campaign to ask for property age to be taken into consideration?

Thank you

Su



Comments

by Neil Patterson

9:56 AM, 17th February 2021, About 8 months ago

Hi Su,

The government consultation ended 8th Jan 2021, and they are now reviewing the outcome to public feedback.

There will be a proposed cost cap for older properties but this has been discussed to be as much as £10,000 >> https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/946175/prs-consultation-2020.pdf

Please see "Government consultation to increase minimum EPC rating to band C for PRS" >> https://www.property118.com/government-consultation-to-increase-minimum-epc-rating-to-band-c-for-prs/

by Annabel Blake

10:20 AM, 17th February 2021, About 8 months ago

I am in exactly the same boat as you, with several Victorian/Edwardian houses in our portfolio which I suspect will be virtually impossible to bring up to category C. I have been worrying gently about this for a while now, to the extent that we are seriously thinking about selling all those houses where we think it will be extremely 'challenging' to meet the new requirement. I will be very interested to learn the eventual outcome of the consultation.

by margarita delaorden

10:24 AM, 17th February 2021, About 8 months ago

Just completed brand new flats. High spec and highest insulation spec available, all electric etc. We got EPC rated as D! they say that the greatest rate we can get is D given that it is all-electric!!
I cannot believe that this is possible. Any ideas as to where I should follow this up.

by Liz Buckland

10:30 AM, 17th February 2021, About 8 months ago

Hi All. There is an open petition to ask that the EPC be 'fair, accurate and relevant'. Here is the link
https://petition.parliament.uk/petitions/559700
The criteria that the assessors use is outdated by miles! My flat has electric heating and it was marked down because there was no boiler. It's ground floor of three storeys and was marked down because there was no roof insulation. The perceived savings were more than the tenant pays a year. They are a bad joke as they stand and need some common sense applied.

by Colin Massey

10:32 AM, 17th February 2021, About 8 months ago

I have had a similar experience to Margarita. The EPC guy said that if we changed all of the electric storage heaters (only a few months old) to a new type which is eco-friendly he could then raise it by one. Why are night storage heaters running on economy 7 penalised when they are viewed as eco friendly anyway?

Another question is how the government could carry out a consultation period about this EPC issue when many landlords knew nothing about it?

All advice going forward will be appreciated. How we could insulate single skin brickwork is a mystery to me. External cladding is a non runner and internal will reduce room sizes below minimum required.

by Coastal

10:32 AM, 17th February 2021, About 8 months ago

Just as all of the other regulation and general landlord targeting policies, the end result will again be higher rents!

by Tom Pope

10:42 AM, 17th February 2021, About 8 months ago

Reply to the comment left by margarita delaorden at 17/02/2021 - 10:24
Hi Margarita, we may be able to assist with improving the EPC rating of these flats. we are currently working on commercial conversion projects, where the Lucent has specified a min EPC rating of C whilst using electric heating. there are solutions, it just requires greater thought into the problem. Please feel free to contact me should you wish to discuss for future projects.

by margarita delaorden

10:44 AM, 17th February 2021, About 8 months ago

As it stands, end result is:
1. bankruptcy if we cannot rent our brand new flats which comply with all latest specs on insulation etc
2. millions of brand new flats that cannot be rented
This cannot be correct, surely.

by margarita delaorden

10:47 AM, 17th February 2021, About 8 months ago

Reply to the comment left by Tom Pope at 17/02/2021 - 10:42
Thanks Tom, how can I contact you? thanks

by Gunga Din

10:49 AM, 17th February 2021, About 8 months ago

I have Victorian terraces too. In one recently D rated, I have 4 inch internal sold foam wall/sloping ceiling insulation, double-glazed, double the loft insulation, LEDs throughout and an A+ rated boiler a year old.

Apparently it could become a C if I spend £14100 for a £528 annual potential saving.

I have a 1960s bungalow, cavity insulated, double-glazed, double loft insulation, efficient boiler, which could go from D to C with the addition of suspended floor insulation. Approx £1000, annual saving £55.

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