EPC Reforms 2025
What Landlords, Buyers & Sellers Need to Know
In the dynamic landscape of UK property, staying informed about regulatory changes is not just an advantage—it’s a necessity. One area currently undergoing substantial reform is the Energy Performance Certificate (EPC) system. Whether you’re a homeowner preparing to sell, a landlord letting residential or commercial property, or a buyer seeking an energy-efficient investment, the proposed EPC reforms set to take effect from 2025 could significantly impact your decisions.
At Northants EPC, we are committed to helping you stay ahead of the curve. In this in-depth guide, we unpack the latest EPC changes, analyse what they mean for you, and offer practical advice to ensure you remain compliant and informed in this evolving regulatory climate.
What Is an EPC and Why Does It Matter?
An Energy Performance Certificate (EPC) is a legal requirement for most properties being sold, let, or constructed in the UK. It rates the energy efficiency of a property on a scale from A (most efficient) to G (least efficient) and is valid for ten years.
The EPC includes information about a property’s energy use and typical energy costs, along with recommendations for reducing energy consumption and improving efficiency. It serves as a benchmark for buyers and renters to assess a property’s long-term energy costs and environmental impact.
However, criticisms have grown over time. Many professionals, homeowners, and energy experts argue that the EPC’s current methodology does not accurately reflect real-world performance. This has prompted the UK government to propose a set of reforms aimed at modernising and improving the scheme.
The Upcoming Changes: EPC Reform Consultation 2025
In 2024, the Department for Energy Security and Net Zero launched a consultation titled “Improving the Energy Performance of Buildings”. The aim is to make EPCs more reflective of actual building performance and more useful for policy-making and consumer decisions.
Key proposals include:
1. New Performance Metrics
The EPC will no longer rely solely on a cost-based rating. New suggested metrics include:
- Energy Use Intensity (EUI): A kWh/m2/year measure that reflects actual energy usage.
- Fabric Rating: Evaluates the quality of insulation and airtightness of the building envelope.
- Heating System Performance Rating: Grades the efficiency of installed heating systems.
- Carbon Emissions Score: Highlights the carbon footprint of the property.
- Smart Readiness Indicator (SRI): Optional score reflecting a building’s compatibility with smart technologies.
These changes are designed to empower property owners with more granular, actionable data.
2. Increased Assessment Frequency
While EPCs are currently valid for 10 years, the proposed reforms recommend shortening this to 5 years to ensure certificates reflect recent renovations and system upgrades. This will ensure buyers and renters get a more accurate understanding of a property’s performance.
3. Digital Overhaul and Transparency
A new digital platform is expected to host enhanced EPCs, providing clearer visual breakdowns, real-time comparisons, and integration with building control and planning databases.
4. Improved Assessment Methodology (RdSAP 10)
The government has introduced RdSAP 10, an updated version of the Reduced Data Standard Assessment Procedure used by domestic energy assessors. This version requires:
- More detailed on-site data collection
- Improved accuracy for non-standard wall types
- Consideration of modern heating and cooling technologies
This could mean slightly longer assessments, but far greater reliability.
The Rental Sector: EPC Band C by 2030
Landlords are set to feel the impact of EPC reform more than most.
Previously delayed, the government’s push to require all privately rented homes to achieve an EPC rating of C or above by 2030 is once again gathering momentum.
Key Points for Landlords:
- New Tenancies: Properties let to new tenants will need an EPC rating of C by 2028.
- Existing Tenancies: All rented properties must achieve Band C by 2030.
- Cost Cap: Landlords will not be required to spend more than £10,000 (up from £5,000 in earlier proposals).
- Exemptions: Available for properties where improvements are not cost-effective, technically feasible, or would damage the fabric/character of the building (e.g., listed properties).
This is a huge shift, considering that over 60% of private rental homes in England and Wales currently fall below EPC C.
Available Support:
Landlords may be eligible for government schemes to offset upgrade costs:
- Boiler Upgrade Scheme: Grants of up to £7,500 for heat pump installations.
- Home Upgrade Grant: Covers insulation and low-carbon heating in eligible homes.
- Green Home Finance Accelerator: Helps fund green mortgage solutions.
Commercial Properties: A Higher Standard Ahead
The non-domestic rental sector is also facing tightened energy performance requirements:
EPC Milestones:
- April 2027: Commercial lettings must achieve a minimum EPC rating of C.
- April 2030: The bar is raised to EPC B.
This could render up to 80% of commercial properties unlettable unless significant retrofitting is undertaken. From offices to retail spaces, landlords should begin audits now to determine upgrade paths.
Action Steps:
- Commission updated EPCs to reflect current performance.
- Identify ‘quick wins’: LED lighting, smart controls, insulation.
- Develop a long-term decarbonisation plan aligned with the 2030 targets.
Are EPCs Fit for Purpose? The Growing Criticism
Despite their legal importance, EPCs have faced mounting criticism. Some homeowners have reported dramatic drops in ratings after reassessment, despite no changes to the building fabric. Others question how a well-insulated home with modern heating can score lower than a poorly insulated one with cheaper energy tariffs.
Concerns:
- Methodology Bias: Current EPCs can favour cheaper fuels (like gas) over greener ones (like electricity), leading to misleading cost-based ratings.
- Stale Data: A certificate issued in 2014 may no longer reflect a property’s condition in 2024.
- One-Size-Fits-All: EPCs don’t account well for occupancy patterns or smart energy usage.
The proposed reforms, particularly new metrics and updated software, aim to address these issues.
The New RdSAP 10 Assessment Method
The updated RdSAP 10 assessment procedure rolled out in 2024 is set to become standard by 2025. This methodology underpins domestic EPC assessments and reflects:
- Thermal Bridging: Greater consideration of junction insulation.
- Low-Carbon Heating Compatibility: Support for hybrid systems and multiple heating zones.
- Renewables: Solar PV, battery storage, and EV charger inputs.
- Ventilation and Air Quality: Increased emphasis on airflow and mechanical ventilation.
Northants EPC is already equipped to carry out assessments under the new RdSAP 10 framework. Our qualified assessors will ensure your property’s rating is as accurate and up-to-date as possible.
What Buyers and Sellers Need to Know
If you’re planning to buy or sell a home in the next 12–18 months, these changes could directly affect your transaction.
For Sellers:
- A higher EPC rating can increase property value and saleability.
- Consider commissioning a new EPC now if yours is over five years old.
- Implement inexpensive upgrades: loft insulation, draught-proofing, LED lighting.
For Buyers:
- Use EPC data to estimate long-term running costs.
- Don’t rely solely on EPCs issued over five years ago.
- Ask for heating bills and maintenance records for additional insight.
Action Plan: What You Should Do Now
Whether you’re a landlord, homeowner, or commercial investor, here’s how to prepare:
- Check Your EPC: Find your property’s certificate at gov.uk/find-energy-certificate
- Book an Updated Assessment: Especially if your certificate is over five years old or your property has undergone works.
- Plan Upgrades: Focus on insulation, low-carbon heating, and ventilation improvements.
- Budget for the Future: Consider potential cost caps and grant options.
- Stay Informed: Subscribe to Northants EPC updates and government consultations.
Final Thoughts
The UK’s drive toward Net Zero is transforming how we view energy use in buildings. The upcoming EPC reforms are not just about compliance—they’re about building a property market that prioritises comfort, affordability, and environmental responsibility.
For landlords, the clock is ticking to meet rental energy standards. For sellers, an upgraded EPC can boost your property’s market appeal. For buyers, a smarter EPC means better investment decisions.
At Northants EPC, we’re here to guide you through these changes with expert advice, accurate assessments, and a commitment to quality.
Need an EPC or a pre-upgrade audit?
Visit northantsepc.co.uk or call us directly to book your assessment.
Stay ahead. Stay compliant. Stay efficient.
Northants EPC offer Energy Performance Certificates throughout Northampton and the surrounding villages.
We also offer Energy Performance Consultations, with a full report on the energy performance of your property and a working plan to improve your rating.
To book and EPC or for further information contact us anytime.
Northants EPC
01604 807308