The changing energy efficiency landscape can be confusing and with impending new legislation on the horizon, landlords need to be sure that they don’t get caught out.
At a time when energy prices are at an unprecedented high, making a rental property more energy efficient not only means you will be ready for the new standards, but it also makes sound commercial sense – particularly when there is significant funding available to help with the costs of improvements.
Estimates suggest that on average the difference in a heating bill from the least energy efficient properties and those with an energy rating Band “E” costs a tenant on average £880 a year.
Fuel poor households living in the least efficient privately-rented homes already need to spend on average around £1,000 more to keep warm compared to the average home.
The Energy Act 2011 outlines a number of conditions which will affect property owners and private tenants. The Act states that there is now a minimum energy standard that your property will be legally obliged to abide by.
As of April 2016, private tenants will have the right to request energy efficiency improvements to your property that you may not be able to refuse. If these requests are ignored, local authorities may be able to fine you and make you undertake the necessary improvements.
From April 2018, the legislative changes will make it illegal for private landlords to let out properties, residential or commercial, which have an EPC Rating of ‘F’ or ‘G’. Find out here.
Benefit to landlords of being energy efficient:
Benefit to tenants of being energy efficient:
At Ellipse Energy we can offer private landlords a trouble free start-to-end solution to help you maximise your investment and ensure tenants are living in properties with high energy efficiency standards.
Furthermore, we can help you access funding to help pay for the cost of energy efficiency home improvements.
The heat is on for householders with the Domestic Renewable Heat Incentive (RHI).
Householders could be paid hundreds of pounds a year for generating heat by solar thermal panels, biomass boilers and heat pumps.