15 June 2026
However, significant changes are on the horizon, with the Government confirming plans to raise minimum energy efficiency standards and introduce a new way of assessing properties.
For landlords, homeowners and property investors, understanding these changes now could help avoid unexpected costs and ensure future compliance.
What Are the Current EPC Rules?
At present, privately rented properties in England and Wales must have a minimum EPC rating of E.
This requirement has applied to:
Landlords may currently be required to spend up to £3,500 on energy efficiency improvements to meet the standard, and penalties for non-compliance can reach £5,000 per property.
EPCs are currently assessed using the Standard Assessment Procedure (SAP), which provides a single energy rating from A to G.
EPC C by 2030: What Is Changing?
Under the Government's Warm Homes Plan, all privately rented homes in England and Wales will need to achieve an EPC rating of C, or the equivalent standard under the new system, by 1 October 2030.
This deadline will apply to both new and existing tenancies.
The proposals also include:
While these reforms have been confirmed as Government policy, the legislation needed to implement them is not expected until 2027. Until then, the current EPC E requirements remain in force.
A New EPC System Is on the Way
Alongside the higher standards, the Government plans to replace the current SAP assessment method with a new framework known as the Home Energy Model (HEM).
Rather than producing a single overall score, future EPCs are expected to focus on several key areas, including:
Fabric Performance
This measures how effectively a property retains heat through insulation, glazing and overall construction.
Heating System Efficiency
This assesses the performance and environmental impact of the property's heating system.
Smart Readiness
This considers a property's ability to support technologies such as solar panels, battery storage and smart energy systems.
Energy Costs
Estimated annual running costs will continue to be displayed to help buyers, landlords and tenants understand likely energy expenditure.
The Government is still consulting on the final details, and the new EPC system is not expected to launch until the second half of 2027.
Why Some Landlords May Want to Act Early
One important proposal is that properties achieving an EPC C under the current system before 1 October 2029 may be treated as compliant under the new rules until that EPC expires.
For landlords with properties currently sitting at EPC D, this could create an opportunity to improve ratings under the existing methodology before the new assessment framework is introduced.
Planning ahead may help avoid uncertainty around future standards and potentially reduce compliance costs.
Changes for Listed Buildings and HMOs
The reforms are expected to affect a wider range of properties than before.
Proposals include:
While some exemptions are likely to remain, owners of older or historic buildings may need specialist advice on future compliance requirements.
Grants and Financial Support
The Government has committed significant funding to support energy efficiency improvements.
Existing schemes include the Boiler Upgrade Scheme, which currently offers grants of up to £7,500 towards the installation of qualifying heat pumps.
Additional support may also be available through local authority schemes and other energy efficiency initiatives.
Before carrying out major improvement works, it is worth exploring what funding may be available.
What Should Property Owners Do Now?
Although the most significant reforms are still a few years away, now is a good time to review your position.
Landlords should:
Homeowners considering a future sale may also wish to understand how upcoming changes could affect the marketability and value of their property.
Getting the Right Advice
The proposed EPC reforms represent some of the biggest changes to property energy standards in recent years. Whether you are a landlord, homeowner, investor or prospective buyer, understanding how the changes could affect you is essential.
Our property team advises clients across Dorset, including Bournemouth, Poole, Christchurch and Highcliffe, on residential property transactions, landlord matters and property-related legal issues.
If you are buying, selling, letting or investing in property and would like advice tailored to your circumstances, contact our team today to arrange a consultation. Call us on 01202 526343, or get in touch via our website: Contact Us AB Solicitors For Your Legal Needs.
