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The Energy Efficiency (Domestic Private Rented Property (Scotland) Regulations 2020 was due to come into force on 01 April 2020. Due to the impact of the COVID-19 global pandemic, the decision was made to postpone the introduction of the new regulations. However, this delay may not necessarily result in any change to the planned compliance details, or any deadlines which require rental properties to have an EPC rating of D by 2025 or even sooner (by 2022) if there is a change in tenancy.

What can you expect?

In summary, the following requirements were expected to come into force from 01 April 2020:

  • If you’re starting a new tenancy, the property will need to have an EPC of at least band D by 01 April 2022.
  • All rented properties, regardless of tenancy period, will need to have an EPC of at least band D by 31 March 2025.

The Scottish Government’s route map (2018) for the new Energy Efficient Scotland goes one step further by proposing to maximise the number of homes in the social rented sector achieving EPC B by 2032 and that no social rented homes should be let if their energy efficiency is lower than EPC D.

Recap: what is an EPC?

Energy Performance Certificates (EPCs) evaluates the absolute and relative energy demand and environmental impact of a building. This allows renters and landlords to quantify and compare similar properties or a portfolio of properties and recommend potential energy efficiency improvements. Building’s energy costs and CO2 emissions are rated on a scale from A-G, with A being the most efficient. The focus on running cost instead of energy demand reduction enables the identification of ‘fuel poor’ properties.

An EPC must be produced for a new build; when a building is to be sold or rented to a new tenant; or when a significant energy related improvement (new heating system, improved insulation, new windows etc) is completed. EPC’s expire after 10 years and a new up-to-date one needs to be issued.

How will this change affect me?

All properties that do not comply with the minimum standard cannot be legally let. For housing associations and private landlord, this could mean a potential loss of income and even fines of up to £5,000 per property.

2032 is closer than you think, and the financial investment required to undertake energy efficiency upgrades for all the properties in your portfolio will require a well-planned, phased approach stretching over period of number of years.

How can Boxfish help?

On top of our Utilities Management and Sustainability Compliance Reporting expertise, Boxfish have the accreditation, expertise and experience in developing an optimal EPC score uplift strategy for large asset managers (property developers, housing associations, large landlords).

Additionally, we offer a full Domestic Energy Performance assessment and lodgement services for large landlords (more than 5 properties).

Boxfish are here to help your business comply with current as well as potential energy efficiency legislation criteria. By starting the transition now, we will work with you to set out a clear road map which will be considerate to your budgets and make you a leader in your field. Our expert team can help identify the steps needed to move your business toward a future compliance of the minimum EPC standards. Now is the time to act!

If your business would like to discuss the options available to comply with this legislation, please get in touch by calling us on 0141 226 8525 or drop us an email at hello@weareboxfish.com

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