Private rented sector minimum energy efficiency standards come into force
The Energy Efficiency Regulations 2015 will bring into force minimum energy efficiency standards (MEES) for the residential private rented sector.
This means that landlords with properties to let which have an Energy Performance Rating (EPC) of less than “E” will have to carry out works to improve the energy performance of the building to a rating of “E” or above or face financial penalties of up to £4,000. The regulations will also make it unlawful for landlords to unreasonably refuse consent to a tenant’s request to make prescribed energy efficiency improvements to properties.
From 1 April, tenants can request permission from their landlords to carry out energy efficiency improvements to their rented properties and the landlord (and any superior landlord) cannot unreasonably refuse consent.
The tenant is responsible for paying for the works and the intention is that no upfront costs should fall on the landlord, unless the landlord agrees to contribute (including unoccupied properties).
Tara Kelly, head of lettings at Savills Winchester, says: “Landlords should look to carry out any energy efficient improvements to their properties now to avoid having to do improvements when they agree to renew a tenancy or decide to let the property to someone else.
“We recommend landlords start preparing for the new regulations by revisiting the energy efficiency rating for their property and reviewing the recommendation reports attached to the most recent EPC.
“Furthermore landlords should renew their EPC where the property previously had a low energy rating and they have recently carried out works because the rating is likely to have improved, bringing the rating to E or above. In any event an EPC must be renewed after 10 years.
“Over time the minimum energy efficiency standard is likely to rise above the minimum “E” rating. Therefore landlords should also consider whether it is worth doing more than the bare minimum and implement works to improve any buildings that also fall within ratings C and D.”
For more information, contact Tara and her team at Savills Winchester on 01962 834020.