Let me start out by explaining that this page is a work in progress, since the implications of  The Energy Efficiency (Private Rented Property) (England & Wales) Regulations 2015 are not yet fully clear. However, the Regulations essentially introduce the following provisions:

     ๏   From April 1, 2016, residential tenants can reasonably ask for a 'Relevant Energy Efficiency Improvement' to be made to a property.

     ๏   From April 1, 2018, there will be a restriction on letting all private sector property that doesn't meet specific energy efficiency standards (new tenancies)

     ๏   From April 1, 2020, there will be a restriction on continuing to let residential property that doesn't meet specific energy efficiency standards (existing tenancies)

     ๏   From April 1, 2023, there will be a restriction on continuing to let non-residential property that doesn't meet specific energy efficiency standards (existing tenancies)

Despite some sources of advice I have seen, this does not mean that it applies to all private sector rented property, nor does it mean that every property must achieve at least an E rating before it can be let.

The Regulations only apply to a property where a valid EPC exists and whilst as time goes by fewer properties will not have EPC's, come 2018 and 2023 there is certainly scope for a number of commercial properties to still not have them.

The regulations also refer to a minimum energy efficiency rating and not specifically an E rating, although E is currently defined as the minimum rating, the important point to note from this is that the minimum rating can change over time.

The regulations also don't explicitly require a property to achieve a minimum energy efficiency before they can be let, they require property that falls below the minimum rating to undergo 'Relevant Improvements' and if after such improvements it remains below the minimum rating it will be deemed exempt but must be lodged on an exemption register before it can be let.

It is the 'Relevant Improvements' that currently make the matter unclear, the improvements that can be considered are specified and largely tied to the 'Green Deal'. The 'Green Deal' though has effectively been shelved and without its funding or a replacement scheme, there are essentially no 'Relevant Improvements' and as such it seems that all property that doesn't achieve a minimum rating can claim exemption. Additionally, at this time no exemption register has been set up.


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Energy Efficiency Regs 2015

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