H2- Everything You Need to Know About Energy Performance Certificates
What is an Energy Performance Certificate?
An Energy Performance Certificate (EPC) is a document defining the energy rating of a property on a scale of A – G, where A is the most energy efficient and G is the least energy efficient. Introduced in the UK in 2007, EPCs are legally required for building, letting or selling a property, and are valid for ten years.
EPCs define a property’s energy rating, giving the owner an indication how expensive their fuel bills are likely to be. They also detail any changes that can be made to the property to improve its rating, and how much money this would save the property owner in the long-term. An EPC also details the CO₂ emissions related to the property, and the improvements that can be made to reduce this.
Who Needs an EPC?
Owner-Occupiers
You need an Energy Performance Certificate in order to market your property when you sell it. Depending on where you live in the UK, this may need to be displayed somewhere in your property. Property buyers need to have seen a copy of the residential EPC before viewing, and certainly before making an offer.
An EPC will display to potential buyers the energy efficiency of a property and the estimated cost of their fuel bills, along with estimates for how much any energy-efficiency-related upgrades will cost them.
Landlords
Landlords are required to have an up-to-date Energy Performance Certificate at all times, not just when selling their property. Tenants must receive a copy of the residential EPC before moving into the property so that they are aware of the estimate fuel costs and energy efficiency of the property.
Developers
Anyone who builds a house must commission an Energy Performance Certificate upon its completion, regardless of whether it is to be lived-in, let or sold. This includes properties part of large developments, as well as one-off house builds.
Who Doesn’t Need an EPC?
There are some buildings that are exempt from requiring either a residential or commercial EPC, including:
- Places of worship
- Temporary buildings that will be used for less than two years
- Stand-alone buildings with total useful floor space of less than 50 m²
- Industrial sites, workshops and non-residential agricultural buildings that do not use a lot of energy
- Some buildings that are due to be demolished
- Holiday accommodation that’s rented out for less than 4 months a year or is let under a licence to occupy
- Listed buildings – you should get advice from your local authority conservation officer if the work would alter the building’s character
- Residential buildings intended to be used less than 4 months a year
Source: gov.uk
Minimum Property Energy Efficiency Ratings in the UK
Minimum Property Energy Efficiency Rating for Owner-Occupiers
There is no minimum Energy Performance Certificate rating required in order to sell your property in the UK if it is owner-occupied, i.e., not let to tenants. However, it is a legal requirement to have one in order to market your property to potential buyers when you sell. Not doing so could result in a fine of up to £5000 for the owner or the estate agent.
Minimum Property Energy Efficiency Rating for Landlords
As of April 2018, landlords in the UK cannot let their property unless it achieves at least an E rating on its EPC. Currently, landlords can be fine up to £2000 if they do not comply. This legislation is changing. From 2025, landlords will require a minimum rating of C in order to let their property to tenants, meaning that landlords across the UK will need to upgrade their properties to improve energy efficiency.
Minimum Property Energy Efficiency Rating for Developers
There isn’t currently a legal minimum rating for new build properties in the UK. However, the UK government has said that all social housing, including existing homes, must meet a minimum rating of C by 2035.
Minimum Property Energy Efficiency Rating for Commercial Property
Commercial properties require a commercial EPC when being sold or let. As with residential lettings, landlords of commercial property cannot lease the property to a tenant unless the property has at least an E rating.
How to Get an EPC
In order to commission an Energy Performance Certificate for your property, you will first need to get in touch with an accredited energy assessor. The assessor will need to access all areas of the property and thoroughly assess the heating systems, taking measurements and photographs where appropriate. Here at Real All in One, we have a number of expert accredited energy assessors to conduct EPC inspections. Contact our team today to book an appointment.
