As of the 1st April 2018 a landlord cannot let or renew the tenancy of a property which has an EPC band of F or G. This is a very sweeping statement which, if you are a landlord, should be making you take a closer look at your property portfolio.
This new legislation is being brought in to further improve the level of the UK Private rented housing stock, which despite the various grant schemes that have been available over the years is still lacking in condition and standard.
Although most landlords are conscientious and will do whatever is feasibly possible to improve their properties, there will be some out there that are more challenging than others.
Please see my other article ‘Things landlords need to do to comply with new EPC legislation’
In a recent Radio 4 item on this subject it discussed how the ‘Green Deal’ was always aimed at allowing landlords to make improvements at no upfront cost, but sadly the Green Deal in its original form no longer exists. There are private finance companies who will set up Green Deal plans and the rumour has it that Green Deal will return in some form next year – watch this space.
What happens if as a landlord you own a property that is on the Listed Buildings register. Listed Buildings do not necessarily need to have an EPC but many have, and those that do usually have very low ratings because of the nature of the building. These properties will be exempt from the new legislation because of the difficulties in improving them.
If as a landlord you have a more challenging property where you are limited to what you can do because say the property is in a conversation area or the only improvements you can carry out are not cost effect then it maybe possible to get an exemption certificate. I only heard about this part this week so the full details are a still a little sketchy – more as I find them.
Either way it is intended that there will be a register of Private Rental Properties/Landlords and any that fail to comply with the new rulings will be fined (anything from £1000 - £4000) and ‘named and shamed’ on this register which is likely to be public and I don’t believe any decent landlord would want that.