Two in three landlords could be forced to sell up in the next five years, as they fear they will be unable to meet the Government’s eco requirements, a survey finds.
Landlords will soon be barred from letting out properties in England and Wales unless they upgrade them to an energy performance certificate (EPC) rating of C — the third most efficient category — or higher.
Those who fail face £30,000 fines.
Last month, the Government extended its previously proposed deadline by three years, from 2025 for newly let rentals to 2028, after it was warned that the plan risked driving out landlords.
Regulations: Landlords will soon be barred from letting out properties in England and Wales unless they upgrade them to an energy performance certificate
But nearly two-thirds of them are still considering selling their properties because they can’t afford the changes needed to meet the minimum level, a survey by the Mortgage Advice Bureau shows.
Nearly a third of landlords say they are ‘extremely concerned’ about the cost of upgrading their property, while a further third say they could pass this burden on to their tenants.
EPC ratings are the key measure used in Britain to judge how ‘green’ a home is. Your property is rated from A to G, with A being the most energy-efficient.
The typical property in England and Wales has a band rating of D, according to the English Housing Survey.
At present, all privately rented homes must meet a minimum energy performance of band E before they can be let.
Ben Thompson, of Mortgage Advice Bureau, says the new regulations will be welcome news for renters, as they will mean lower utility bills.
However, he admits that for landlords it is a ‘confusing and worrying’ process.
