Energy performance regulations: the basics
Under regulations coming into force in October 2008, landlords need to give new and prospective tenants an Energy Performance Certificate (EPC) the first time a property is let to them.
Landlords that fail to do so could be served with a Notice requiring compliance and a fine. Fines will be calculated based on the rateable value of the property with a minimum of fine of £500 and maximum £5000.
What is an energy performance certificate (EPC)?
The EPC rates a property’s energy efficiency and carbon emissions from A (very efficient) to G (very inefficient). It is similar to the labels used on washing machines and other appliances. The idea is that EPCs will help tenants take into account energy efficiency when deciding which property to rent. The EPC will also give landlords recommendations on how to improve a property’s energy rating. It is not obligatory for landlords to implement these recommendations.
When to get an EPC
Landlords must provide an EPC:
- At the viewing or before a rental contract is signed whenever a property is let to new tenants
- Whether or not it is requested
Landlords do not need to provide an EPC:
- To existing tenants, even when a tenancy agreement is renewed
- Where a prospective tenant is not genuinely interested in the property
- Where a prospective tenant appears unlikely to be able to afford the property
How to get an EPC
EPCs can only be issued by accredited energy assessors (see directgov for a full list of accredited energy assessors) and will normally be valid for 10 years. The cost varies, but for an average house should be about £100. This charge cannot be passed on to the tenant.
For help with a specific case email landlord and tenant solicitor Cate Searle or call her on 01273 609911