Sarah Emmerson
Head of Lettings Operations and Compliance
On 15th June 2025, the Energy Performance Certificate (EPC) assessment methodology will undergo its most significant transformation in over a decade. As a landlord, staying abreast of these evolving regulations is crucial for maintaining compliance, sustainability and ensuring the longevity of your property investments.
Landlords face new EPC assessment changes
On 15th June 2025, the Energy Performance Certificate (EPC) assessment methodology will undergo its most significant transformation in over a decade. As a landlord, staying abreast of these evolving regulations is crucial for maintaining compliance, sustainability and ensuring the longevity of your property investments. The upcoming changes to the EPC assessment process are set to significantly impact how energy efficiency is measured and reported. Here’s what you need to know about these changes.
All domestic EPCs will be evaluated using an updated methodology, introducing the new RdSAP 10 system. The major overhaul aims to enhance the accuracy of EPCs through more detailed and reliable data.
The Government plans to raise the minimum EPC rating for homes in England and Wales to ‘C’ by 2030. However, the current minimum requirement for renting out a property remains at an ‘E’ or above.
Key changes to note:
· Date-Driven Ratings: EPC ratings will rely on more specific data, including construction methods, types and conditions of glazing, heating system efficiency, home improvements and added insulation.
· Document Dependency: The accuracy of the EPC assessments will increasingly depend on documentation provided by landlords.
· Refined Calculations: The methodology for calculating floor area and insulation levels will be improved, allowing for more precise understanding of a home’s heat retention.
· Updated Heat Loss Calculations: RdSAP 10 will modify how heat loss is calculated for flats and terraced homes, which were previously at a disadvantage due to default assumptions, potentially leading to better EPC ratings for these properties.
Due to the increased complexity of the new RdSAP 10 assessments, which require more time and effort from assessors, you may notice a rise in assessment costs. The detailed data collection and the necessity for evidence-based information will make these assessments more time-intensive.
What does this mean:
· Maintaining Documentation: Keep thorough records of energy improvements, such as insulation upgrades and heating system installations. Without proper documentation, EPC ratings may decline, even if upgrades have been made, exposing landlords to unnecessary costs.
· Schedule Assessments Early: Plan EPC assessments promptly to avoid any delays, as the increased assessment times could lead to potential backlogs.
· Review Current EPC Ratings: Understanding your properties current EPC ratings will help you identify necessary upgrades to meet the new standards.
· Consult an Accredited Energy Assessor: Engage with an energy assessor to understand the implications of these changes on your properties and receive guidance on potential improvements.
· Tenant Awareness: Tenants may leverage this information to find more energy-efficient homes, potentially reducing their energy bills and increasing confidence in the accuracy of EPCs.
Strutt & Parker has fully trained and accredited third-party assessors available to provide advice on improvements aimed at retaining or boosting EPC ratings and reassessing properties.
By understanding these changes and taking proactive measures now, landlords can ensure compliance, enhance their properties appeal and contribute to a more sustainable housing market. Embracing energy efficiency benefits not only the environment but also leads to long-term savings and increased tenant satisfaction.