What Are The New EPC Rules in 2025?

Whilst there are no new EPC rules in 2025, rentals will have to have a minimum EPC rating of C by 2030. To get ahead of this, landlords need to start planning now.

From 2025, landlords in England and Wales should start preparing for changes to Energy Performance Certificate (EPC) requirements. Though the rules are still changing, the direction is clear: all rental properties will likely need to meet a minimum EPC rating of C by 2030.

In this guide, we’ll explain what’s changed, what hasn’t, and what landlords need to do now to stay compliant and avoid future penalties.

If you’re feeling overwhelmed, don’t worry, J Property Management is here to help you navigate it all. Let’s get started…

What Is an EPC and Why Does It Matter?

 

An Energy Performance Certificate (EPC) rates how energy-efficient a property is, using a scale from 1 (least efficient) to 100 (most efficient).

Then, this number is assigned to a letter A (most efficient) to G (least) which is displayed on an EPC certificate. The EPC is calculated based on factors like insulation, heating systems, windows, and lighting.

An EPC essentially measures how much it could cost to heat and light a property. The lower the letter (G being the lowest), the more expensive it is to run.

 

Currently, any rental property in England, Scotland or Wales must have an EPC rated E or higher to be legally rented out. EPCs are valid for 10 years.

But change is coming.

The Government’s Original Plan

 

The UK Government originally planned for EPC rules in 2025 to be that:

• All new tenancies must have an EPC rating of C or higher by 2025

• All existing tenancies would need to have an EPC rating of C+ by 2028

However, given how old many buildings are in the UK, alongside worries about rising inflation, rent and high interest rates, landlords fought back. Because of this, these rules were scrapped in September 2023 and a longer lead-time was given.

 

 

So, What Are The New EPC Rules Now?

 

While the initial 2025 deadline is no longer in place, the Government has still said they want to stay committed to improving energy standards in rented housing.

The new proposal:

• New tenancies must meet EPC C from 2028

• All tenancies must meet EPC C by 2030

These rules are part of the proposed Minimum Energy Performance of Buildings Bill, currently under consultation. Although not yet law, landlords should take these deadlines seriously – especially if the government are actually committed to hitting Net Zero in 2050.

Starting early not only gives landlords a competitive edge as others try to keep up, it also reduces the risk of scrambling to hit these new deadlines.

Need help assessing your property’s EPC rating? Contact J Property Management for a quick EPC check or upgrade strategy.

What’s Changing in 2026?

 

Landlords also need to prepare for a big change in how EPCs are calculated, coming in 2026.

Currently EPCs are calculated using the size of the property, the materials used and the systems in place. However, this is set to change.

The new scoring system will focus on:

• Fabric performance – how well the property retains heat

• Heating system efficiency – e.g. heat pumps vs gas boilers

• Smart meters – how easy it is to digitally track energy usage

This means that even if your property has a current EPC C, you may need to re-look at it under the new system to make sure it still hits all the relevant marks.

What Will It Cost to Upgrade to EPC C?

 

If you find that your rental property has a low EPC, you might be thinking about upgrading it. But how much does it cost?

According to government figures:

• Average cost to bring a rental up to EPC C: £6,864

• Average amount landlords are currently willing to spend: £2,400

This mismatch is a huge challenge for private landlords. Upgrading energy systems is expensive, sometimes reaching figures of more than £10,000, especially in older properties. Because of this, the government is looking at ways to help landlords meet these targets, with plenty of time for them to implement them.

Common Landlord Questions About EPC Rules

 

Do I really need to make upgrades if the rules aren’t law yet?

Technically, no, but if you wait too long, you could rush to find the contractors and materials to get the job done. If you don’t you could put yourself at risk of fines.

Will I be fined for not meeting EPC C by 2030?

If the new rules are passed, fines could reach £30,000 or a ban from letting your property.

Is it worth upgrading a property I plan to sell or exit from?

Possibly not, but bear in mind that buyers will also be looking at EPCs when thinking about long-term investment value.

Can I do this without disrupting my tenants?

Many upgrades (like insulation or LED lights) can be done without too much disruption. We help landlords organise work around their tenants all the time – talk to us to find out how.

Simple EPC Improvements Landlords Can Make Today

 

Even without spending thousands, you can improve your EPC rating by focusing on upgrades and taking it one step at a time.

Here are some fixes you can get started on:

• Roof insulation: +10 to 15 EPC points

• Cavity wall insulation: +5 to 10 points (costs £350–£500)

• Cylinder jacket: +1.5 to 2 points

• LED lighting: +1 to 2 points (low cost)

• Solar panels: +10 points (more expensive, but high return)

These changes alone could push your property up a band and make it more attractive to energy-conscious tenants.

Can EPC C Properties Attract Better Tenants?

 

Energy-efficient properties are becoming more desirable with tenants.

According to Hamptons:

• Tenants in an EPC C-rated home spend £499 less per year on energy than those in D-rated properties.

• Compared to E-rated homes, the saving is £1,248 every year.

That’s a strong incentive for tenants, especially with the cost of living still rising. For landlords, this can mean:

• Higher rental yields
• Shorter void periods
• Longer tenancies

All of which can help improve the return on investment that comes with a rental property.

Looking to upgrade and market your property better? Our full-service lettings team can help.

Is There Government Support to Fund Upgrades?

 

Yes, but eligibility is limited. Schemes include:

• Warm Homes Local Authority Grant (from 2025)

• Energy Company Obligation (ECO)

• Great British Insulation Scheme

You may be able to claim up to £15,000 to help with improving efficiency, but only if:

• Your property is rated D–G

• Your tenant earns under £36,000/year or has a qualifying health condition

• You don’t raise rent for a set period

• You participate in government evaluations or surveys

 

Key Dates For Upcoming EPC Rules

If you are keeping an eye on these evolving regulations, having these dates in mind is a good idea.

• 2 May 2025: The government is currently consulting on the plans to increase the minimum EPC rating for rental properties. Landlords are invited to respond online, but this option closes on 2nd May 2025.

• 2026: New EPC calculation system launches

• 2028: New tenancies must meet EPC C (proposed)

• 2030: All tenancies must comply (proposed)

The clock is ticking. But by acting now, landlords can reduce financial stress, avoid rushed upgrades, and boost property value.

Start Planning Your EPC Strategy Now

 

While the rules are still being finalised, one thing is certain: energy efficiency is a long-term priority for UK housing.

Whether you’re a hands-on landlord or prefer full-service property management, it’s time to get your EPC strategy in place.

At J Property Management, we:

• Arrange professional EPC assessments

• Create realistic upgrade roadmaps

• Connect you with trusted tradespeople

• Manage upgrades during tenant changeovers

• Keep you compliant with all changing regulations

Book your free EPC review today and get ahead of the curve: Get in touch with J Property Management