An Energy Performance Certificate (EPC) tells you how energy efficient a building is. The rating is from A to G, A being the most efficient. By knowing the EPC of a building, you will know how much it will cost to heat and light a building as well as what the likely carbon emissions will be.
From 1st April 2018, it became mandatory for all rental properties to have an EPC rating of E or above. This regulation is for new lets and renewals of tenancy leases taking place on or after 1st April 2018. In order to give landlords time to get an EPC certificate and make any amendments to comply with the rating existing tenancies must comply by 1st April 2020.
If a property has an EPC rating of F or G, then a civil penalty will be imposed of up to £4000, unless the property is exempt from requiring an EPC.
If you have a property you are planning to lease or have tenants in place already on existing contracts then you should arrange for an accredited assessor to carry out an energy assessment. This link takes you to The EPC Register; you can find an assessor that is local to you.
They will carry out an assessment and give your property a rating, if this is below the minimum standard then you will need to make the necessary changes to the property. Another assessment will need to be performed to prove that the rating meets the regulations.
In some cases, the changes can be very straightforward such as changing light bulbs to energy-saving bulbs. In the long run the more energy efficient your property, the lower your fuel bills so it will be useful for you especially if you have multiple properties you rent.
To find out more about EPC’s and particularly to view the list of buildings that are exempt from this regulation have a look at Gov.UK – Energy Performance Certificates page.
If you have rental property and would like advice on how to reduce your tax bill, then please do contact us at Adcock Accounting by calling 01623 or email This email address is being protected from spambots. You need JavaScript enabled to view it..
Haidee is our Personal Tax Director and is a fully qualified tax adviser, having achieved the ATT qualification in 2006. Tax efficiency being her main concern. Specialising in taxation, Haidee provides clients with advice on personal tax, PAYE services, VAT and social security. She also provides guidance to new start-up businesses.
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