Energy Efficiency in London Rental Properties: EPC Ratings and What Landlords Must Do
Since April 2023 all privately rented homes in England must have an EPC rating of at least E. A minimum C rating is expected for new tenancies by 2028. Here is what London landlords need to know.
Current EPC Requirements
Since 1 April 2023 all privately rented residential properties in England must have an Energy Performance Certificate (EPC) rating of E or above. Properties rated F or G cannot be lawfully let unless a valid exemption is registered with the PRS Exemptions Register.
The Upcoming Minimum C Target
The UK government has proposed that from 2028 (new tenancies) and 2030 (all tenancies), properties must achieve a minimum EPC rating of C. This has not yet been enacted into law but landlords with older stock should treat it as a likely requirement and plan improvements now while costs are lower.
What Affects EPC Ratings
The EPC rating is calculated based on the property's estimated annual energy cost per square metre. Key factors include:
- Boiler efficiency and age
- Insulation — loft, wall and floor
- Window glazing (double or triple)
- Heating controls (smart thermostats, TRVs)
- Hot water cylinder insulation
- Low energy lighting
Most Effective Improvements for London Properties
For typical London Victorian or Edwardian terraces the highest EPC gain per pound spent comes from:
- Loft insulation: most cost-effective improvement, typically £300–£500 and can raise rating by 5–10 points
- Boiler replacement: moving from a G-rated old boiler to an A-rated condensing boiler significantly improves the rating
- Heating controls: programmer, room thermostat and TRVs — relatively cheap and often needed to get from D to C
- Cavity wall insulation: where applicable (most post-1920s properties) — typically £500–£1,000
Exemptions
Exemptions from the minimum rating apply where: all recommended improvements have been made and the property still does not reach the threshold; consent cannot be obtained from a third party (e.g. freeholder, listed building consent); or improvements would reduce the property value by more than 5%.
Frequently asked questions
How long is an EPC valid for?
An EPC is valid for 10 years. A new EPC is required if significant energy improvements have been made and you want the rating to reflect the improved efficiency before the 10 years expires.
What is the cost of an EPC assessment in London?
A domestic EPC assessment typically costs £60–£120 in London. The assessment takes around 45 minutes for a standard flat or terraced house.
My property is rated D — do I need to do anything now?
No legal requirement today — the current minimum is E. However, if the minimum C target is enacted, a D-rated property would need improvement by 2028 for new tenancies. Start planning now rather than facing a deadline.
Can I get grants for improving EPC ratings?
The Great British Insulation Scheme and ECO4 scheme offer grants for insulation measures in properties with low EPC ratings. Eligibility depends on property type and tenant income. The Boiler Upgrade Scheme provides £7,500 toward a heat pump.