As a landlord, it’s likely you welcomed the January news that the 2028 compliance deadline for new tenancies to meet an Energy Performance Certificate C rating was to be axed. However, the Warm Homes Plan changes announced by the government only give an extra two years’ grace, with C-rated compliance (up from E currently) now due from 2030 for both new and existing tenancies, unless your property is exempt.
The urgency may have disappeared, but it could still be worth budgeting for changes now for several reasons. You may want to spread out the cost over the longer period you now have, helping to lessen the financial load of the C rating change.
However, any improvements you make could boost the profile of your rental, making it more attractive to tenants seeking energy-efficient rental properties and potentially allowing you to charge more.
Meanwhile, acting early could also save you additional stress. The NRLA has estimated that the shortfall of skilled tradespeople in the UK will hit a quarter of a million by 2030, the same point full C-rating compliance is due. As labour shortages increase prices will follow.
The finances
Anything invested in changes since October 2025 will be taken into account for the £10,000 spending cap, which now applies for each property. This is the maximum that landlords will need to pay for improvements and has been reduced from the previous cap of £15,000. The cap will also be lowered incrementally for any homes valued at under £100,000. Funding support will also be offered through low-interest loans. The validity of EPCs has also been extended to ten years.
Where to start: windows and insulation
But where should you start? To start with there are easy wins to be had. The government is encouraging a ‘fabric first’ approach as part of its proposed Home Energy Model for EPCs, which will measure properties on fabric performance, heating systems and smart readiness, focusing on how properties retain heat.
This means looking at material improvements first, such as installing or replacing loft or cavity wall insulation, which can be a relatively low investment improvement. Draughtproofing can also be a cost-effective fix to improve EPC ratings, although if that means installing double or triple-glazed windows, the cost will be higher.
Issues such as damp and mould must also be addressed quickly as they can impact an EPC score and indicate a bigger problem and energy wastage, such as a leak or poor ventilation.
Upgrading heating
If finances stretch to it this year, it’s also worth assessing your heating system to understand if a replacement is required. The government is prioritising efficient systems such as heat pumps but boiler grants are also still available. Installing smart meters and smart thermostats at the same time is also beneficial. Although these don’t directly impact your EPC rating, they will be appreciated by tenants looking to reduce spending and energy wastage.
