Energy performance certificates and standards for rental properties

As a landlord or buy to let mortgage investor, understanding the rules around energy performance certificates (EPCs) is more important than ever. EPC ratings affect not only your legal ability to let a property but also your mortgage options—and the rules are changing.

Here’s what you need to know about current EPC requirements, what’s likely to change in the coming years, and how it could affect your rental portfolio and mortgage planning.

If you are investing in HMO property, read our related guide “What HMO landlords should know about EPCs”.

This guide is for information purposes only, for up to date legal advice on EPC’s please speak to a legal professional.

What is an EPC?

An energy performance certificate (EPC) rates the energy efficiency of a property on a scale from A (most efficient) to G (least efficient). The certificate is valid for 10 years and is legally required whenever a property is built, sold, or rented.

It gives tenants insight into running costs—and gives lenders and regulators a sense of how energy efficient your property is.

The laws around providing an EPC to tenants

Under UK law, a landlord must provide an Energy Performance Certificate (EPC) to a tenant or prospective tenant at the following points:

• When marketing the property for rent: An EPC must be commissioned before the property is put on the market. The EPC rating (A to G) must be included in all advertisements, whether online, in print, or through letting agents.
• Before the tenancy agreement is signed: A valid EPC must be made available to any prospective tenant as early as possible, and definitely before a tenancy agreement is entered into. This applies whether the tenancy is new or being renewed. EPCs are valid for 10 years, so a new one is not needed for every new tenant unless the old one has expired.

Legal requirements for serving notice

The legal requirements for serving notice to end a tenancy vary across the UK. Below is a summary of how the EPC requirement specifically fits into Section 21 or equivalent notice procedures in England, Scotland, Wales, and Northern Ireland:

England

To serve a valid Section 21 notice, a landlord must have provided the tenant with:

• A valid Energy Performance Certificate (EPC)
• A valid gas safety certificate
• The current version of the How to Rent guide

This is a statutory requirement under the Deregulation Act 2015 and applies to all assured short-hold tenancies granted or renewed since 1 October 2015.

Wales

Since the introduction of the Renting Homes (Wales) Act 2016, which came into force on 1 December 2022, the notice procedure in Wales has changed significantly.

• Section 21 no longer applies. It has been replaced by a “no-fault” notice called a Section 173 notice under the new regime.
• There is no specific legal requirement under the new Welsh law to have served an EPC in order to issue a Section 173 notice.

However, an EPC is still required to legally market and let a property in Wales under separate regulations.

Scotland

Scotland does not use Section 21. Since December 2017, most tenancies are private residential tenancies (PRTs), which have no fixed term and can only be ended by the landlord using grounds for eviction.

• There is no “no-fault” equivalent to Section 21 in Scotland.
• There is no legal requirement to have served an EPC before issuing an eviction notice.
• However, landlords must still have a valid EPC to legally market and let a property.

Northern Ireland

In Northern Ireland, the rules differ again. Tenancy law is governed by the Private Tenancies (Northern Ireland) Order 2006.

• There is no Section 21 equivalent in current Northern Ireland law.
• Landlords must follow the correct procedure for ending a tenancy, which includes providing written notice—typically 12 weeks, depending on the length of the tenancy.
• There is no requirement to have provided an EPC to issue a notice to quit.
• As elsewhere, a valid EPC is still needed to legally advertise and let a property.

EPC rules for rental properties (current regulations)

As it stands in 2025, the minimum EPC standard for letting a residential property in England and Wales is:

• EPC rating of E or above

If your property is rated F or G, you cannot legally let it, unless you qualify for an exemption. This rule has been in place since:

• April 2018 for new tenancies
• April 2020 for all existing tenancies

Are there any exemptions?

Yes. A landlord can register an exemption on the PRS Exemptions Register if:

• The cost of upgrading the property to meet an E rating exceeds £3,500 (including VAT)
• You’ve made all recommended improvements up to the cost cap, but the property still doesn't meet the required standard
• It’s not possible to improve the rating due to structural constraints (for example, if the property is listed)
• The tenant refuses consent for energy efficiency improvements

Exemptions last for five years, after which they must be renewed or the property must be upgraded.

Proposed future changes to EPC rules in the private rental sector

While the government hasn’t yet passed legislation, there is strong momentum toward tightening EPC rules for privately rented properties. Here’s what’s likely:

Proposed changes (subject to final confirmation)

• Minimum EPC rating to rise to C
• New tenancies to require EPC C from 2028 (originally proposed for 2025)
• All tenancies—including existing ones—to meet EPC C from 2030

The proposals also suggest increasing the cost cap for improvements to £10,000.

These plans were first outlined in the UK Government’s Minimum Energy Performance of Buildings Bill and are part of the wider push toward net zero by 2050.

As of mid-2025, these changes have not yet been enshrined in law, but it’s widely expected that similar regulations will be introduced in the near future.

How this affects buy to let mortgages

Lenders are increasingly factoring in EPC ratings when assessing buy to let mortgage applications. Some lenders offer preferential rates for properties with EPC ratings of A to C. Others will decline lending on properties rated F or G - unless an exemption exists, or - with some lenders - if the property is a holiday let.

If EPC legislation tightens in the future, both mortgage availability and property values could be affected.

What should landlords be doing now?

• Review your portfolio’s EPC ratings: If any properties are still rated D, E or below, start planning ahead. Upgrading now could be cheaper than waiting until demand spikes closer to enforcement deadlines.
• Get an EPC reassessment: Some older EPCs may underestimate your property's efficiency. Even small upgrades—like loft insulation or LED lighting—can sometimes push a property up a band.
• Factor EPC into new purchases:When buying a buy to let, consider the EPC as part of your due diligence—alongside location, yield, and tenant demand.
• Check for mortgage incentives: Some lenders now offer green buy to let mortgages with better rates or cashback for EPC-rated A to C properties. A broker can help identify these options.

The importance of EPC rules for landlords

The EPC rules are already important—and they’re set to get even tighter. As a landlord, failing to meet standards could mean not being able to let your property, losing mortgage eligibility, or even facing fines.

If you are buying a property with EPC rating A-C, let our advisors know, as it could positively impact the mortgage interest rate you can achieve.

If you are remortgaging soon and think recent upgrades to your property may impact its EPC rating, it is well worth investigating in case it can improve the mortgage you can secure.

If you have a remortgage coming up, it is well worth reviewing your existing EPC to see if your rating is below “C” and you could make upgrades to change this.