Energy Performance Certificate (EPC)
UK law requires all landlords to complete an Energy Performance Certificate (EPC) before advertising a home. EPCs are valid for 10 years and at Mashroom we can organise yours in a click of a button.
Why having an EPC is good for the planet, your tenants and you
Apart from being a legal requirement, having an EPC encourages energy efficiency, reduces running costs for your tenants, and increases the value of your property. It’s what you might accurately describe as a win-win.
What is an Energy Performance Certificate (EPC)?
An EPC is an Energy Performance Certificate which gives a property an energy efficiency rating from A (most efficient) to G (least efficient) and is valid for 10 years.
EPCs were first introduced by the UK government on 1st August 2007 in England and Wales.
What are the legal requirements regarding an EPC?
Well, as it has been a legal requirement for a landlord to have an EPC since 2008, first up you have to have one.
If a home has been sold or let since then, it should have one and if you haven’t had one, you must remedy this as they are only valid for 10 years.
The advantages of having an EPC
Unless you fancy standing up in court, having an EPC is a very good idea. But beyond avoiding prison, it can also add value to your property, encourage your tenants to be more energy efficient, and help you qualify for renewable tariffs.
You can increase the value of your property by up to 6% by improving its EPC rating, depending on where it is in the country.
A renewable boost
The government’s Feed-In Tariff (FIT) is linked to the EPC rating of your property. So if you want to take advantage of that, your EPC rating needs to be D or above.
Your tenants can stay cosy, up the property’s EPC rating and reduce their heating bills, all by improving the property’s insulation.
Be a bright spark and book your EPC today
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Who pays for an EPC?
It is the responsibility of a landlord to pay for the EPC. But remember, you can offset this cost against your tax returns. And Mashroom can organise a budget-friendly EPC for just £79.
Remember, that when you pay for the cost of an EPC as a landlord, you are paying for the services provided by a Domestic Energy Assessor (DEA).
What happens if my property fails its EPC survey?
Great news – it can’t. An EPC is a survey that ranks your property on a scale of A to G – so there is no pass or fail, just better or worse. But if it’s low, tenants may be less likely to consider renting your property, due to the associated costs, particularly as rising energy prices are an ongoing issue.
An EPC rating is a review of a property’s energy efficiency and is primarily of interest to would-be buyers (you) or renters (your tenants) to quickly see how much their energy bills will cost in their new house or flat.
New-build homes tend to have high EPC ratings, while older homes often have lower ratings of around D or E. The average for a home in the UK is currently an EPC rating D, but the government hopes to raise this to a C by 2025/26 and it will be essential for landlords to achieve this rating, or they could risk being fined.
Your EPC will have two main charts with the rating bands. The bands go from A to G, with A being the best rating your home can have, and G being the worst.
An EPC lets potential tenants know how much they will spend on energy bills each month And for those interested in sustainability and reducing energy costs – a higher EPC rating will always be better.
The rating plays a vital role in helping renters make a decision about moving into your property.
There are lots of pros to getting a higher energy rating.
There is no pass or fail rating. A property will be rated on a scale from A-G. Homes rated A are at the better end of the scale.
Currently, the law states that rented properties must have a minimum EPC rating E, but this is set to change by 2025/2026 when the rating will likely rise to an EPC rating C.
Your four-page EPC will not only indicate your rating, but the EPC assessor will suggest things that you can do to improve it. If you are carrying out any renovations between now and 2025, you should look at things you can do now to improve the rating. It can be cheaper than you think!
I’ve lost my EPC, where can I find it?
Unlike your Gas Safety Certificate, another legal check and requirement for landlords (though this one has to be carried out annually, rather than once a decade), if you don’t have access to a copy of the EPC, or you’re wondering where you can find your energy certificate, you should can find it online by logging into the Landmark Register. You can search this EPC register by address.
To avoid misplacing your documentation in the future, upload all of your legal documents to our free Document Storage Tool. It will even remind you when something is close to expiry!
How to get an Energy Performance Certificate (EPC)
So now you know what they are, how do you go about getting an EPC certificate? Well, it’s fairly straightforward. But to avoid any confusion, we’ve gathered some FAQs here, to further demystify the process.
How is an EPC carried out?
What does the domestic energy assessment involve?
What happens on the day of my EPC check?
Can my EPC check be done remotely?
Is my property EPC exempt?
There are very few instances where a property is exempt from having to get an EPC. And it’s highly unlikely that any will be applicable to landlords, except potentially in the commercial sectors.
- A temporary building that will be used for less than two years
- A place of worship or building that is used for other religious activities
- An industrial site, workshop or non-residential agricultural building that doesn’t use much energy
What happens if you don’t have an up-to-date EPC certificate?
If you don’t have an EPC certificate or do not make one available to a prospective buyer or tenant when selling or letting non-dwellings, the consequences can be fairly costly. In most cases, the penalty is fixed at 12.5% of the rateable value of the building. So fairly substantial.
When should I update my EPC?
They are valid for 10 years but there are times when you should update it earlier. For example, if you’ve renovated your property and made changes which could affect the rating, then happily the rating is likely to go up.
Should I update my EPC mid-tenancy?
Energy performance certificates are valid for 10 years from the date of issue.
What are the consequences of not having an up-to-date EPC?
Well, for a start, it’s actually illegal to let a property if it doesn’t have a valid EPC.
What are the consequences of not reaching the minimum rating requirement?
With new regulations coming into force in 2025, if your property doesn’t achieve a valid EPC with a rating of C or above, the penalty will be raised to a whopping £30,000.