Some 6% of landlords risk financial penalties and being banned from renting if their properties fall beneath imminent energy efficiency rules.
From 1 April 2018, the new regulations have the potential to leave landlords unable to rent their properties and tenants with inflated energy bills.
The new Minimum Energy Efficiency Standards (MEES) rules will make it illegal for landlords to sign a new lease for properties with an energy performance certificate (EPC) rating of F and G from next month. Those caught breaking the rules risk a £4,000 fine.
Over 300,000 privately rented properties in England and Wales still have an energy performance certificate (EPC) rating of lower than F or G. With an estimated 4.7m households in the private rented sector in England and Wales, that means 6% of landlords could fall foul of the new Minimum Energy Efficiency Standards (MEES) rules if they fail to take action.
It is vital that landlords are aware of the new rules and improve their property’s energy performance rating if they fall below the minimum standard.
Simple Landlords Insurance has produced a guide on the new rules.
Richard Truman, Head of Operations and Simple Landlords Insurance, says: “Keeping up to date with the latest industry news and regulations is key in making sure tenants and properties stay safe, and investments stay profitable.
“Ensuring that properties meet the new requirements isn’t just good for the environment. A more energy efficient home will also be more attractive to let in a competitive rental market. Government research shows that rented properties with better energy efficiency are a third less likely to have empty periods than those with sub-standard ratings.”
