New EPC targets put private rental sector at risk, say experts  

New EPC targets put private rental sector at risk, say experts  

The timing of new energy efficiency measures across the private rented sector (PRS) risks making Scotland’s housing crisis worse, property experts say.

At present, all rental homes must achieve an Energy Performance Certificate (EPC) rating C by 2028 for new lettings beyond that point, and an EPC C rating by 2033 for all existing tenancies. This timescale, especially for new lets, the Scottish Property Federation argues doesn’t give landlords long enough to improve the efficiency of their properties and may limit the supply of homes to rent.

While the SPF welcomes the ambition to raise the energy performance of homes in the rented sector, it is calling of the Scottish Government to provide clarity on these new EPC standards and provide sufficient support to deliver genuine improvements to Scotland’s housing stock.

As a compromise to give landlords longer to improve their homes, while increase energy efficiency and reduce tenant bills, the SPF believes that 2030 is a more realistic date for the introduction of these measure on new lets. This would ensure that the rental sector has the opportunity to adapt and prepare for such substantial regulatory change.

This forms part of the SPF’s response to the Scottish Government’s consultation over the summer on Minimum Energy Efficiency Standards (MEES) for the private rented sector, to reach an equivalent of EPC C.

The Scottish Government’s proposals are contained within the Heat in Buildings Bill, which is to be introduced to the Scottish Parliament by the end of this year and, it is intended, to be passed in time for the 2026 Holyrood elections next spring.

An SPF spokesperson says:“While we naturally welcome measures to improve the energy performance of homes within the rented sector, thus saving tenants money and tackling fuel poverty, we fundamentally believe that a more collaborative, balanced and proportionate approach is needed. One that must consider the needs of both landlords and tenants and be realistic about the ability of the sector to prepare for this. 

“That is why we are calling for a more achievable commencement date of 2030 for new tenancies. As the risk of not doing so will place significant financial strain on the private rented sector, potentially exacerbating the ongoing housing crisis and limiting the supply of homes to rent.”

This article is taken from Landlord Today