Energy Performance Certificates (EPCs) are required for all 'self-contained' dwellings in the private rented sector. This refers to houses where all the rooms, including kitchen, bathroom and toilet, are behind a single door which only that household can use.
The Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015 establish a minimum level of energy efficiency for privately rented property in England and Wales.
Minimum energy efficiency standards
Landlords of privately rented properties must ensure their properties have an EPC rating of at least E before granting a new tenancy to new or existing tenants.
These requirements apply to all privately rented properties in England and Wales.
The government has issued guidance to private landlords on complying with the minimum level of energy efficiency standards.
Exemptions from the minimum energy efficiency standards
Landlords must carry out relevant works of up to £3,500 to bring rented properties up to standard if they don't meet the minimum energy efficiency standards. Relevant works are those recommended in the property’s EPC.
If the standard cannot be met within the £3,500 cap, landlords must carry out relevant works up to that value before registering an exemption.
National PRS Exemptions Register
Landlords must register an exemption on the National PRS Exemptions Register if they believe an F or G EPC rated property they let out qualifies for this.
The National PRS Exemptions Register is open to anyone who wishes to search for details of exempt properties.
Penalties for non-compliance with Minimum energy efficiency standards
There are both financial and publication penalties for non-compliance with minimum energy efficiency standards.
Financial penalties
If a landlord lets a sub-standard property in breach of regulations, we may impose a penalty of between £2,000 to £4,000.
We may also impose a penalty of up to £1,000 on any landlord who is found to have entered false and misleading information on the National PRS Exemptions Register.
Publication penalties
We may publish details of landlords breaching regulations by letting sub-standard properties on a publicly accessible part of the National PRS Exemptions Register.