A new study has found that the government’s ambitious target for all rental properties to hit an EPC rating of C by 2030 is not only unrealistic but could also have damaging repercussions for the private rental sector.
Some 95% of respondents surveyed by Landwood Group, national chartered surveyors and auctioneers, labelled the goal as impossible.
Private landlords are already abandoning their property portfolios in record numbers, according to Landwood Group. With some of the oldest housing stock in Europe, UK landlords are deeply concerned about the viability of this new policy.
Discussions on social media reveal a growing chorus of concern that this mandate could slash profitability and reduce the availability of much-needed rental properties.
Mark Bailey, partner at Landwood Group, said: “This so-called ‘green’ initiative might look good on paper, but it’s built on shaky foundations.
“The focus on improving modern social housing, overlooks the vast majority of Britain’s private rental properties which are ageing and would require significant, costly upgrades to meet the EPC C standard.
“For many, achieving this rating is not just challenging; it’s nearly impossible without substantial financial investment.
“Previously, government subsidies helped with upgrades like heat pumps and insulation. Now, landlords have little choice but to sell or raise rents to cover these high costs.”
As a result, Landwood Group is witnessing a surge in landlords auctioning their properties, from single homes to large portfolios.
Baily continued: “The consequences for renters are clear. As landlords are forced out of the market, tenants will face fewer housing options and higher rental prices.
“Energy efficiency is certainly important, especially in light of rising energy costs. But what use is energy efficiency if people can’t afford a place to live? The Government needs to address the housing crisis before imposing such stringent requirements. As it stands, this policy risks doing more harm than good.”
Sharp rise in rental homes being sold as landlords flee buy-to-let sector
