Warning- EPC Changes Are Coming

Podcast Hosts:

Gemma – Host

Ifthiika (Ifthi) – Accountant and Mortgage Advisor

Introduction

Gemma:

Today, we discuss EPCs (Energy Performance Certificates) and the upcoming changes.

We’ll explain what EPCs are, how they affect buyers, sellers, and landlords, and what steps to take before the new regulations in 2025.

Q&A Discussion

Q1: What is an EPC Rating?

Ifthi:

EPC = Energy Performance Certificate.

It shows how energy efficient a property is, using a color-coded system:

Green = highly efficient

Red = least efficient

Higher ratings → lower electricity, gas, and water heating bills.

EPCs also reflect the government’s push for greener homes.

Q2: How Can People Find EPC Ratings?

Ifthi:

EPCs are available on the official EPC website.

They are also included on property brochures or on platforms like Rightmove.

Ratings range from A (best) downwards; most new houses tend to have good ratings.

Q3: What Do EPC Ratings Mean?

Ifthi:

Higher ratings = more energy-efficient → lower bills.

Supported by government and some banks.

EPCs are becoming more important due to the push for greener homes.

Q4: How Can Buyers Use EPC Ratings?

Ifthi:

EPC ratings indicate hidden costs: higher bills for less efficient properties.

Particularly important for buy-to-let investors, as regulations are changing in 2025.

Low EPC ratings may require costly upgrades to meet future legal requirements.

Q5: How Can Sellers Use EPC Ratings?

Ifthi:

High EPC rating = selling point.

Can justify higher asking price: lower bills for the buyer.

Investments in solar panels, insulation, or energy-efficient systems can be marketed to buyers.

Q6: EPC Ratings and Landlords

Ifthi:

Current legal requirement: EPC rating of E for rental properties.

From 2025: minimum rating will increase to C.

Upgrading may involve significant costs, especially for older properties.

Planning ahead is crucial to avoid fines or inability to rent out the property.

Q7: How Can Landlords Improve EPC Ratings?

Ifthi:

Insulation: walls (cavity or solid) and roof.

Boilers: upgrade to modern, energy-efficient models.

Solar panels: reduce energy bills and improve rating.

Lighting: switch from halogen to LED bulbs.

Windows: install double or triple glazing.

Other options: smart meters, energy-efficient heaters.

Note: older installations may lose efficiency over time and need updating.

Q8: Timeline for Compliance

Ifthi:

Regulations come into force 2025 (about 3-4 years away).

Some sources suggest landlords may have a grace period for upgrades, but all new tenants after 2025 will require compliance.

Planning now is essential to avoid costly last-minute improvements.

Closing Remarks

Gemma:

EPC considerations are critical for buyers, sellers, and landlords.

Always check your EPC rating and plan upgrades in advance.

Reminder: A mortgage is secured against your home or property; failure to keep up repayments may lead to repossession.

If you need advice, contact WS for guidance on EPCs, property, or mortgages.