Email: enquiries@pcomproperty.com
+66 9 7072 6615 
Mon-Thurs 10am to 8pm local   Fri 10am to 4pm local   GMT +7  UAE+3  HK/SG -1
REQUEST A CALLBACK
PcomProperty - UK properties for UK expats
  • Home
  • Properties
    • Go To All Properties Listing
    • Digbeth - City Centre | Birmingham
    • Victoria - City Centre | Manchester
    • Newark | Notts
    • West Bromwich | Birmingham
    • Reading | Berkshire
    • Jewellery Quarter - City Centre | Birmingham
    • Hayes | London
    • Harrow | London
  • Blog
  • Subscribe
  • Contact
  • Home
  • Properties
    • Go To All Properties Listing
    • Digbeth - City Centre | Birmingham
    • Victoria - City Centre | Manchester
    • Newark | Notts
    • West Bromwich | Birmingham
    • Reading | Berkshire
    • Jewellery Quarter - City Centre | Birmingham
    • Hayes | London
    • Harrow | London
  • Blog
  • Subscribe
  • Contact

A Piece of England

A UK buy to let property blog

19/7/2022

Why EPCs could drive rents even higher

 

Under legislation currently working its way through parliament, privately rented properties will need to have an EPC rating of C or above. This could lead to  many thousands of homes taken out of the rental market..

Picture

Whilst this is commendable from a net zero perspective, it could have far reaching consequences for the availability of rental stock. CBRE delved into the numbers.

According to the government's figures, there are 2.26 million privately rented homes in the UK. Of these, 64% do not meet the new EPC standard. 1.4 million properties will need to be upgraded over just six years.

However, the Housing Ministry's own figures state that 478,000 of these, no matter how much money is spent on them, can never reach EPC Band C. Landlords may have no alternative but to take them out of the rental market.

Of the remaining 920,000 that have the potential to reach EPC C, it is unclear how many will pay several thousand pounds to upgrade and how many will sell. Those who upgrade will look to recover heir costs through higher rents. For each one who sells, the rental stock diminishes.

In the unlikely event that all landlords pay for the upgrades, there still remains the 478,000 that cannot be rented.

It may be that these properties will have to be exempted but CBRE's conclusion is clear. There will be a significant reduction in stock and rents will go up.

The Minimum Energy Performance of Buildings Bill mandates that privately rented properties have an Energy Performance Cenrtificate of C or above. This is set to come into force in 2025 for new tenancies and in 2028 for existing tenancies. The penalty for non-compliance is up to £30,000.


Comments are closed.

    Piece of England
    Newsletter

    A fortnightly update on UK residential property investment
    Unsubscribe at any time
    Send

    Privacy Policy

Picture
Helping expats acquire affordable, profitable and secure UK buy to let property
Home       Properties       Blog       Subscribe       Contact

Tiwanon Road   Mueang   Nonthaburi 11000   Thailand
​
+66 9 2597 4045   8:30am to 5:30pm local   GMT +7  |  UAE +3  |  HK -1