Finally, some welcome news for Landlords in the Prime Ministers speech.
Rishi Sunak delivered a speech outlining the watering down of the government's energy efficiency targets. What does this mean for Landlords?
Rishi Sunaks speech yesterday (21st September 23) outlined the watering down of the governments energy efficiency targets, suggesting that the plans to up the required EPC rating for properties may now be scrapped and the plan to ban gas boilers could be delayed.
Reversal of EPC C upgrades
Previously the government shared that it would require landlords to have a minimum energy efficacy rating of C by 2025 on new tenancies, and 2028 for all tenancies. However, the PM has now shared that landlords are likely to no longer be required to meet these new energy efficiency targets. That means that landlords wouldn't be expected to pay up to £10,000 in upgrades - with no fines for those that fail to reach this standard.
Landlords and other households will instead continue to be encouraged to upgrade where possible.
Delay to ban on Gas Boilers
The target was for no gas boilers to be installed in new homes by 2025, and for the phasing out of boilers altogether to begin in 2033.
"We will never force anyone to rip out their existing boiler and replace it with a heat pump," says Sunak. "You’ll only ever have to make the switch when you’re replacing your boiler anyway – and even then, not until 2035."
Heat pumps, he said, needed to be made cheaper without imposing high costs on families at a time while the technology is still expensive.
Increased support through the Boiler Upgrade Scheme
Alongside the delay, Sunak has also announced an update to the Boiler Upgrade Scheme, which offers a grant to cover part of the cost of replacing gas boilers with a heat pump or biomass boiler. These grants will increase by 50%, to allow people to access up to £7,500.