Since April this year, landlords who own some of the most inefficient properties in the private rental sector have been required to improve these issues with energy efficiency measures, with support available to cover the costs.
Under new measures announced following a public consultation, will go further than the Minimum Energy Efficiency Standards (MEES), requiring landlords to contribute to the costs of the upgrades. The Government has revealed that the cap will be set at £3,500 (inclusive of VAT).
The biggest changes include:
- The introduction of a capped landlord contribution of £3,500
- Removal of the consent exemption currently available, where a sitting tenant does not consent to a Green Deal charge
- Inclusion of an evidential requirement for the registration of a high cost exemption
- Curtailment of the period of validity of previously registered no cost exemptions
Other policy decisions relate to the operational efficacy of the regulations.
When the amended regulations come into force, to register a high cost exemption, where the property cannot be improved to an Energy Performance Certificate (EPC) rating of E for £3,500 or less, the landlord would be required to submit three installer quotes.
The current MEES require landlords of private rental domestic and non-domestic properties in England and Wales to ensure that their EPC rating is E or above, before granting a new tenancy to a new or existing tenant. This latest announced applies to domestic properties only.
If private rental homes are in breach of the regulations, local authorities can use enforcement measures or issue a fine, which is capped at £5,000. Local authorities also have powers to issue a publication penalty, which would see the details of a landlord breach published on the PRS Exemptions Register.
If you’re uncertain on how energy efficient your rental property is or are seeking management that ensure energy efficiency compliance, get in touch today on 0161 883 2525.