Domestic EPCs

By law, all domestic and commercial buildings in the UK available to buy or rent must have an Energy Performance Certificate (EPC). However, there are a few exceptions to the general rules outlined above. You will not require an EPC if you can demonstrate that the building is exempt.

It is always the responsibility of the landlord or owner of the building to obtain an EPC. If your property has a rating of F or G, then its energy efficiency will need to be improved to meet the minimum ‘E’ rating before granting a new tenancy. Once upgraded a new EPC will be required to verify the property now meets the minimum requirements.

An EPC certificate is valid for 10 years and can be used multiple times during that period, as long as the rating is above an F. However, if you’ve made any energy improvements in that time, you may want to consider getting a new EPC if you’re planning to sell or rent your property to improve its rating.

A higher rating will appear more attractive to potential buyers when you’re selling in a competitive market and give you an advantage over similar properties in the area. 

An EPC is also a great way to check up on your home’s energy efficient and find out ways to improve it. You can then carry out these energy-saving suggestions to make your home cheaper to run. For instance, replacing all of your old windows with double glazing could save you around £135 every year.

The requirement for an EPC has been the law since 2008, meaning if your home has been sold or let since then, it should have one. It is the responsibility of the landlord or property owner to obtain an EPC before marketing a property and must have a copy of the certificate ready to show potential tenants. This is normally something estate agents offer to arrange for their vendor clients – but agents’ fees for doing this are sometimes not made 100% clear – so it’s often cheaper to arrange this yourself.

Changes came into force in April 2018, meaning that landlords are now required to achieve a minimum rating of ‘E’ on the EPC in order to rent their property. If the property is rated below an ‘E’, the landlord must make the necessary energy-saving improvements and a new EPC is required to prove that the property meets the minimum requirements.

Labour has recently announced in September 2024 that all privately rented properties will need to achieve a minimum EPC grade C by 2030, up from the current grade E. This means many landlords will need to start planning energy efficiency improvements to ensure their properties meet the new standards. However, key details of the proposed reforms remain subject to confirmation.

Landlords now face a penalty fine of up to £4,000 if they fail to meet the minimum efficiency requirement, unless there is an accepted exemption. Most properties in the UK are graded as D or E.

 In addition, landlords of domestic dwellings should bear in mind that as from October 2015, if an EPC was not provided with a new tenancy, they will not be able to seek possession using a section 21 notice until a valid EPC has been served.

The information provided on an EPC is also useful for tenants looking for ways to improve their energy efficiency. Since April 2016, tenants can now seek permission from their landlord to make energy-saving improvements on their privately rented property. 

In relation to domestic EPCs, there are fixed penalties for failing to provide an EPC or make one available when required – £200 per dwelling. There is a six month time limit for any enforcement action to be taken. In addition, landlords of domestic dwellings should bear in mind that as from October 2015, if an EPC was not provided with a new tenancy, they will not be able to seek possession using a section 21 notice until a valid EPC has been served.

Notwithstanding the legal obligations and potential penalties involved in not providing an EPC, there is also good evidence to suggest that ‘greener’ properties offer considerable benefits to occupiers and owners, which will be reflected in property values. At Energy Assess this is why the accuracy of assessment is so important so as to provide reassurance that the EPC can be relied upon when the future value of the property is calculated.

With this in mind, not only are penalties avoided when obtaining an EPC but there are clear benefits too, which include attracting a tenant quicker , and having your building ready to let or sell faster – the right kind of tenant is also more likely to be attracted to landlords who take the EPC seriously, such a tenant being one that is looking to remain on a more long-term basis, in this sense, expenditure in tenant turnover is reduced. Financially, research also suggests that an EPC can bring higher rents and higher capital values, which again, will prove useful to a landlord come rent review. For those wishing to sell their property, it has been reported that higher sale prices, of up to 27%, are being achieved.