The private rented sector needs to go green

Residential landlords will also be hit, unable to rent out their underperforming properties. Penalties will be less than the commercial side, ranging from £1,000 to £5,000 depending on the breach for non-compliance. Although there will be exemptions available through the Public Exemptions Register.

What are the exceptions?

Certain buildings are excluded from the scope of requirements, so it’s advisable to check if your building does fall within the scope or not. Owners can consider two types of legislation – Energy Performance of Buildings (England and Wales) 2012 and the MEES Regulations.

Where a landlord isn’t legally required to have an EPC but obtains one voluntarily, the landlord will not be required to meet the minimum standard. 

Landlords can also grant a new lease of a sub-standard property after April 2018, and continue to let a sub-standard property after 2020 or April 2023 if one of the following exemptions are achieved:

  • the ‘Golden Rule’;
  • devaluation; or
  • third party consent.

Additionally, if someone has recently become a landlord, temporary exemptions can apply so they have time to complete necessary works. Again, conditions must be met for these exemptions to apply. 

Exemptions only last for five years and the PRS Exemptions Register need to be notified as early as possible. After which a review will need to take pace to see if they are still applicable. Temporary exemptions only last for six months.