Landlords Set to Foot the Bill for Energy Efficiency Upgrades


Private rental sector landlords throughout England and Wales could soon be required to fork out for measures that will make their properties more energy efficient.

New laws mean that from 2018 it will officially be illegal for landlords to rent out residential properties that have either F or G energy efficiency ratings.

Until recently, the government has helped landlords carry out eco-friendly upgrades on their properties through Green Deal incentives and tax allowances.

But those methods of offsetting the costs involved in these processes are no longer being made available and many landlords are now expected to be left paying for efficiency improvements out of their own pockets.

The Residential Landlords Association (RLA) has said that it expects the processes involved in upgrading a property from F or G efficiency ratings to cost individual landlords up to £5,000 each.

According to the RLA, the likelihood is that the eventual impact of the new laws relating to energy efficiency and residential properties will be that private tenants are being asked to pay more money each month in rent.

“The government’s proposals will amount simply to another tax on tenants,” said the RLA’s policy consultant Richard Jones in a statement.

The RLA has called for policymakers in Westminster to consider more carefully the impact of whatever measures they introduce to improve energy efficiency levels within the UK’s housing stock and to provide financial help for landlords who are being required to make expensive improvements to their properties.

“Whilst we all want to see improvements in the energy efficiency of homes to rent that cannot come at the expense of driving up rents,” said Richard Jones from the RLA.

Incoming rules mean that by April 1st 2018, all newly let residential buildings or properties with renewed tenancies in England and Wales will need to have at least an E rating with regard to their energy efficiency.

By the beginning of April 2020, the same will be true of all properties being rented out privately anywhere in England and Wales, with breaches to these rules set to carry a civil penalty of up to £4,000.


Written by: David Rowling on Wednesday 14/09/2016