How long is an EPC Report valid for?
An EPC is valid for 10 years and can be used multiple times during this period. The EPC will expire after 10 years and a new EPC (valid for the next 10 years) should be produced if the property is marketed for sale or rent at that time
What buildings fall into exemption from an EPC report?
Some residential buildings are exempt from the requirement to have an EPC when they are rented out or sold - in which case the Minimum Energy Efficiency Standards do not apply. The general understanding has been that listed buildings and places of worship are exempt.
How much does an EPC Report cost?
The price bracket for an EPC Report is between £45-£90, Commercial EPCs are a lot higher in price and are quoted on size of building.
Changes to the EPC Regulations?
This means that, from April 2018, landlords of privately rented domestic and non-domestic properties in England or Wales must ensure that their properties reach at least an Energy Performance Certificate (EPC) rating of E before granting a new tenancy to new or existing tenants.
Why do I need a EPC Report?
Your property's EPC needs to be available to potential buyers as soon as you start to market your property for sale or rent. You must get an approved / accredited Domestic Energy Assessor to produce the EPC, which provides information about a property's energy use and typical energy costs.
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These EPC changes mean it will be unlawful to let or lease a residential or commercial property with an EPC rating of F or G. Here are 7 things you need to know about the changes.
1. The regulations surrounding Energy Performance Certificates are changing on 1 April 2018
This has been a long-standing concern of the industry with uncertainty amongst agents, landlords, tenants and energy assessors as to when these changes would come into effect and just what the implications of these changes would mean for all of those involved. The date is set for 1st April 2018.
2. The EPC changes affect both residential and commercial property in the Private Rented Sector
Minimum Energy Efficiency Standards (MEES) will apply to both the domestic and non-domestic sides of the PRS meaning that whether a landlord is letting out a commercial property or a house to a tenant, it could be unlawful to do so should the building not meet these new minimum EPC requirements.
3. The Minimum Energy Efficiency Standard for non-domestic (commercial) buildings is an EPC rating of E
It is our understanding that this new rating will be based on C02 emissions for commercial property, this is the EPC graph displayed on the first page of the commercial energy efficiency certificate. Read the official DECC Government report for Non-Domestic buildings here.
4. The Minimum Energy Efficiency Standard for domestic (residential) buildings is an EPC rating of E
It is our understanding that this new rating will be based on Fuel costs rather than C02 emissions for domestic property. This is the EPC graph displayed on the first page of the energy certificate. Read the official DECC Government report for Domestic dwellings here.
5. The EPC regulation changes are about the energy efficiency rating and that, if renting out a property, an F or G rating could be problematic.
Potential issues could arise after 1 April 2018 when trying to let a house/flat or renew a commercial lease with an EPC rating worse than an E.
For the period Q1 2008 – Q1 2015, 35% of Non-Domestic buildings which had an EPC survey carried out were achieving an E, F, or G rating. For the same period, 26% of Domestic properties achieved an E, F or G rating. This official Government data suggests that a significant proportion of the UK building stock could be affected by the new energy performance regulations.
6. These new Minimum Energy Efficiency Standards (MEES) were released by the Department of Energy and Climate Change on 22nd July 2014 and confirmed on 5 February 2015.
The Government considered the views of a variety of individuals and organisations across England and Wales on the issues surrounding EPCs before deciding on the details of the new regulations which are designed to help the Government meet their obligations set out in the Energy Act 2011 to improve the energy efficiency of property within the privately rented sector.
7. The new EPC regulations require eligible properties to be improved to acheive a rating of E or better, before they can be rented out
The new regulations apply to Non-domestic property, defined by the Energy Act 2011 as any property let on a tenancy, which is not a dwelling. All commercial property types from A1 – D2 usage class are in scope of the regulations, with the exception of those exempt from existing Energy Performance Certificate (EPC) regulations.
The regulations apply to Domestic property, defined in section 42 of the Energy Act 2011 as properties let under an assured tenancy for the purposes of the Housing Act 1998, or a tenancy which is a regulated tenancy for the purposes of the Rent Act 1977. There are also however, some exceptions where a domestic property would be exempt from requiring an EPC.