When will the minimum EPC for rentals increase to C?

The government previously proposed raising the minimum to C for new tenancies from 2025 and all tenancies from 2028. However, this was scrapped in September 2023. While a C minimum is still a long-term government ambition, there is currently no confirmed date for implementation. Landlords should still prepare for potential future changes.

EPC Requirements for Landlords 2026

Q: What is the minimum EPC rating for landlords in 2026?

As of 2026, the minimum EPC rating for rental properties in England and Wales is E. Properties rated F or G cannot be let to new or existing tenants unless the landlord has registered a valid exemption. The government has proposed raising this to C, but the timeline remains unclear.

Q: What happens if my rental property doesn't meet the minimum EPC?

If your rental property is rated F or G and you don't have a registered exemption, you face penalties. For domestic properties, local authorities can fine you up to £5,000. The fine structure is: up to £2,000 for renting a non-compliant property for under 3 months, and up to £4,000 for 3+ months, with a maximum combined penalty of £5,000.

Q: Can I get an exemption from the minimum EPC requirement?

Yes, there are several exemptions: the 'all improvements made' exemption (if you've spent up to the cost cap on improvements), third-party consent refusal (e.g. planning authority won't allow changes), property devaluation (if improvements would reduce the value by more than 5%), and wall insulation exemption (if an expert advises against it). All exemptions must be registered on the PRS Exemptions Register and last for 5 years.

Q: Do I need an EPC for each tenancy?

You need a valid EPC (less than 10 years old) available whenever you let or re-let a property. You don't need a new EPC for each tenancy renewal, but you must ensure the existing one is still valid. If it has expired, you'll need a fresh assessment before marketing or signing a new tenancy.

Q: Are HMOs required to have an EPC?

It depends. If the HMO is let as a single tenancy (whole house), it needs an EPC for the whole property. If individual rooms are let on separate tenancies, each self-contained unit that has its own entrance needs its own EPC. Shared houses with communal facilities where rooms are let individually are more complex — check with your local authority.

Q: What about Scotland and Northern Ireland?

Scotland has its own energy efficiency standards for rented properties. Under the Energy Efficiency Standard for Social Housing (EESSH), social housing must meet certain targets. Private rentals in Scotland must also meet minimum standards. Northern Ireland requires EPCs when selling or renting but does not currently have MEES regulations like England and Wales.

Overview: EPC Rules for Landlords

If you're a landlord in England and Wales, Energy Performance Certificates aren't optional — they're a legal requirement that can directly affect whether you're allowed to let your property. Since 2018, the Minimum Energy Efficiency Standards (MEES) have set a floor on how energy-efficient a rental property must be before it can legally be let to tenants.

Understanding these rules is essential for any landlord. Non-compliance can result in fines of up to £5,000 per property, and the regulations are likely to get stricter in the coming years. This guide covers everything you need to know for 2026.

MEES Regulations Explained

The Minimum Energy Efficiency Standards were introduced under the Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015. They set a minimum EPC rating that rental properties must achieve before they can be legally let.

Key milestones:

April 2018: Minimum EPC rating of E required for new tenancies and tenancy renewals.
April 2020: Extended to all existing tenancies. Landlords could no longer "wait out" old tenancies — all let properties must meet the E minimum.
September 2023: Government scrapped plans to raise the minimum to C by 2025/2028.
2026 (current): The E minimum remains in effect. Future tightening to C is a stated ambition but no confirmed legislation.

Current Rules for 2026

As of February 2026, the rules are:

All domestic rental properties in England and Wales must have an EPC rating of E or above.
Properties rated F or G cannot be let to new or existing tenants (unless exempt).
The EPC must be valid (less than 10 years old).
A copy of the EPC must be provided to tenants free of charge before a tenancy begins.
The EPC rating must be included in all property advertisements.

These rules apply to all private rented sector (PRS) properties let on an assured tenancy, regulated tenancy, or domestic agricultural tenancy in England and Wales.

Proposed Future Changes

The trajectory is clearly towards higher minimum standards, even though timelines have slipped:

Band C minimum: The government's long-term plan is to require all rental properties to achieve at least a C rating. Although the 2025/2028 deadlines were dropped, this remains a policy goal. Most industry experts expect it to be legislated at some point in the next parliamentary term.
Cost cap: The proposed C regulations included a cost cap (originally £10,000), meaning landlords wouldn't need to spend more than this to achieve compliance. If improvements up to the cap don't achieve a C, an exemption could be registered.
Smart meter requirements: Some proposals have included requirements for smart meters to be offered to tenants.

Our advice: Even though the C minimum isn't yet law, it's wise to start planning now. Improve your properties gradually, take advantage of current grants, and you'll be ahead of the curve when regulations tighten.

Penalties and Enforcement

Local authorities (specifically, Trading Standards) enforce MEES regulations. If you're found to be renting a non-compliant property, you could face:

Breach	Maximum Penalty
Renting a non-compliant property for less than 3 months	£2,000
Renting a non-compliant property for 3 months or more	£4,000
Providing false or misleading information on the PRS Exemptions Register	£1,000
Maximum total penalty per property	£5,000

In addition to fines, a breach may be published on a public register for at least 12 months. This could affect your reputation and ability to secure mortgages or insurance.

Enforcement is increasing. Local authorities are using EPC data to identify non-compliant properties and proactively contacting landlords.

Exemptions from MEES

If your property is below the minimum E rating, you may be able to register an exemption on the PRS Exemptions Register. Valid exemptions include:

"All improvements made" exemption: You've carried out all cost-effective improvements identified on the EPC and the property still doesn't reach E. Under the current rules, there's no cost cap for the E minimum — you must make all improvements that would pay for themselves within their expected lifetime through energy savings.
Third-party consent: You need consent from a third party (e.g. a planning authority, lender, or freeholder) to make improvements, and they've refused. You must have applied in writing and been refused.
Devaluation: An independent surveyor has assessed that the required improvements would reduce the property's market value by more than 5%.
Wall insulation: A qualified surveyor has provided written advice that cavity, external, or internal wall insulation would damage the property or be technically unsuitable.
New landlord: You've recently become the landlord (e.g. through inheritance) and need time to make improvements. This is a temporary exemption of 6 months.

All exemptions must be registered on the PRS Exemptions Register and last for 5 years. After 5 years, you must either improve the property or register a new exemption with fresh evidence.

Improving Your Rental Property's EPC

Common improvements that work well for rental properties include:

Loft insulation — cheap, non-disruptive, and effective (£300–£600)
Cavity wall insulation — significant improvement, can be done while tenanted (£500–£1,500)
Boiler upgrade — if the current boiler is old and inefficient (£2,000–£4,500)
LED lighting — minimal cost, easy to do between tenancies (£50–£150)
Heating controls — programmer, room thermostat, TRVs (£150–£400)

For a comprehensive guide to all improvement options, see our article on how to improve your EPC rating.

Landlord tip: Always keep receipts and certificates for any energy improvements. These are evidence for your exemption application if needed, and they help the next EPC assessor accurately record what's been installed.

Grants Available to Landlords

Landlords can access some (but not all) of the same government funding available to homeowners:

ECO4: Energy suppliers fund improvements for properties with low EPC ratings, particularly where tenants are on low incomes or benefits. Landlords can apply on behalf of their tenants.
Great British Insulation Scheme: Covers insulation measures for properties in lower council tax bands (A–D in England). Landlords can apply.
Boiler Upgrade Scheme: Landlords can apply for heat pump grants, but the tenant's consent is typically needed.
Local authority schemes: Many councils have specific funding for the private rented sector. Check with your local authority.

The cost of energy improvements to rental properties is typically tax-deductible as a revenue expense, reducing your income tax liability. Consult an accountant for specific advice.

Scotland and Northern Ireland

Scotland: Has its own energy efficiency framework. The Energy Efficiency Standard for Social Housing (EESSH) requires social landlords to meet specific targets. Private landlords must ensure properties meet the Repairing Standard, which includes basic energy efficiency requirements. Scotland is also developing its own minimum standards for private rentals.

Northern Ireland: Requires EPCs when selling or renting but does not currently have MEES-style regulations. However, landlords must still provide a valid EPC to tenants. Northern Ireland has its own housing fitness standard and thermal comfort requirements.

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Frequently Asked Questions

What is the minimum EPC rating for landlords in 2026?

The minimum is E. Properties rated F or G cannot be let without a registered exemption.

What happens if my rental property doesn't meet the minimum?

You face fines of up to £5,000. The penalty is £2,000 for breaches under 3 months and £4,000 for 3+ months.

Can I get an exemption from the minimum EPC requirement?

Yes, exemptions exist for properties where all cost-effective improvements have been made, where third-party consent was refused, where improvements would devalue the property, or where wall insulation is unsuitable. Register on the PRS Exemptions Register.

When will the minimum increase to C?

The 2025/2028 deadlines were scrapped. No confirmed date exists, but it remains a government ambition. Preparing now is advisable.

Do I need an EPC for each tenancy?

You need a valid EPC (under 10 years old) available when letting. You don't need a new one for renewals, but it must still be valid.

Are HMOs required to have an EPC?

It depends on the letting arrangement. Whole-house lets need one EPC. Self-contained units need individual EPCs. Shared houses with separate room lets are complex — check with your local authority.

What about Scotland and Northern Ireland?

Scotland has its own energy efficiency standards for rentals. Northern Ireland requires EPCs but doesn't have MEES regulations. Both require landlords to provide valid EPCs to tenants.