EPC C by 2030: what landlords need to do and when

The government has confirmed that privately rented homes in England and Wales will need an Energy Performance Certificate rating of C by 1 October 2030, up from the current minimum of E. With detailed regulations still being finalised, this guide sets out what has been announced, what remains to be settled, and how to plan the work.

The headline requirement

• Deadline: an EPC of C or better for all private tenancies by 1 October 2030, unless a valid exemption is registered.
• Cost cap: landlords are expected to spend up to £10,000 per property on improvements, reduced to 10% of the property's value for homes worth under £100,000. Money spent from 1 October 2025 counts towards the cap. If you reach the cap without achieving a C, you can register an exemption.
• EPCs remain valid for ten years, but a certificate produced under the old methodology may need refreshing to show the new metrics.

The new EPC

The current single rating is being replaced with a set of metrics under the Home Energy Model, expected to be introduced from the second half of 2027 and used for the standard from late 2029. The proposal is for a fabric performance metric (insulation, glazing, airtightness) plus either a heating system metric or a smart readiness metric, with the landlord choosing which of the latter two to meet. The practical effect is that fabric improvements, which are permanent, are the safest investment, while gas boilers alone are unlikely to meet the heating measure.

Exemptions

Announced exemptions include:

• Cost cap: the spending cap has been reached without achieving C (valid ten years).
• Low-value property where the 10% rule bites.
• All relevant improvements made and the rating is still below C.
• New landlord: a six-month grace period after acquiring a tenanted property.
• Third-party consent refused by a freeholder, tenant, lender or planning authority.
• Solid wall insulation and negative impact exemptions where the works would damage the property or its value.

Exemptions must be registered on the national register with evidence, and they lapse.

Planning the work

For a typical Victorian or 1930s house the moves that shift the rating most, roughly in order of cost-effectiveness, are loft insulation to 270mm, draught-proofing, LED lighting, heating controls, cavity wall insulation where cavities exist, upgrading the boiler, double or secondary glazing, and floor insulation. Solar PV adds a large number of points where the roof suits it. Solid-walled houses are the hard cases; internal or external wall insulation is expensive and often triggers the exemptions above.

For HMOs the same rules apply per property, and licensing renewals are a natural point at which councils will check. Bills-included HMOs have an additional incentive: every efficiency improvement lands directly in the landlord's margin.

A sensible timetable

1. Now: get a current EPC with a recommendations report for every property, and note the rating, the recommended measures and their estimated costs.
2. 2026 to 2027: do the cheap, high-impact fabric measures at void periods and keep every invoice, because spend from October 2025 counts towards the cap.
3. 2027 to 2028: when the new methodology arrives, obtain a new assessment for anything borderline and decide between heating and smart readiness routes.
4. 2029: finish major works while contractors are still available; demand for assessors and installers will peak in the final year.
5. Register exemptions as soon as they are established rather than in September 2030.

Tax treatment: most energy efficiency measures are revenue expenses when replacing an existing element like for like, and capital when adding something new. Check with your accountant before assuming.

AIRPROP plans EPC works for managed properties alongside licensing and safety renewals so that each void is used well. Get in touch if you would like a portfolio-wide plan.