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Posted on February 16th 2015 by admin-movingin

HMOs exempt from private lets EPC upgrade

It now appears that HMOs will be exempt from meeting the new energy standards which the majority of privately let properties must adhere to from 2018. 

Last week we reported that the government had presented regulations to parliament which will oblige landlords to upgrade the energy efficiency of those to-let properties currently rated F and G to a minimum of E by 1 April 2018 – or face being unable to let them until they improve the rating. 

The government claims that almost 10 per cent of England and Wales’ 4.2m privately rented homes currently fall below the E rating.

From April 1 next year, 2016, so only 14 months from now – tenants living in F- and G-rated homes will be able to request improvements such as more insulation and over the following two years landlords will be legally bound to bring homes up to an E-rating.

However, it now appears that HMOs may not be included – a disappointment to many campaigners seeking to improve private rental standards generally and energy efficiency particularly.

Labour MP Alan Whitehead, who has raised related issues in parliament in the past, has told 24dash.com that “the failure to bring HMOs within the scope of this legislation will leave a substantial amount of the private rented sector unprotected against leaky, cold properties. I’ve recently been trying to amend the primary legislation to cover HMOs with a Private Members’ Bill but it’s a problem that will need urgently addressing by the next government.”

One energy supplier, Spark Utility, calculates that around 380,000 non-HMO rental units currently fall into the F or G energy ratings, and these may cost an average of £9,000 to upgrade to at least an E.