Munday and Cramer

New EPC Regulations in 2025: Everything you need to know as a landlord

With the news announcing the introduction of new EPC regulations in 2025, landlords are eager to know how this is going to impact them financially. Finding the right information online can be tricky. So that you can properly prepare for what’s to come, our team have broken this down below.

What is an EPC rating?

EPC stands for ‘Energy Performance Certificate’. This is a document that details how environmentally friendly a property is. Usually, your score will be determined during a home or commercial survey. There are 7 ratings from A-G, with ‘A’ being the most efficient.

EPC ratings were introduced in 2007 and demonstrate to tenants or buyers how energy efficient a home is. Having a good rating will make your property far more attractive, so it’s a worthwhile investment if you’re putting time into improving this.

New EPC regulations in 2025 – newly rented properties

The government have been trying to reduce the UK’s carbon footprint for many years. As of 2025, however, they’re taking things one step further. From this point forward, any newly rented buildings must have a rating of ‘C’ or higher. This applies to both commercial and residential properties. Failure to comply with the minimum standard of EPC rating from 2025 could result in large fines. 

New EPC regulations in 2025 – older rented properties

For landlords who already have a portfolio of rented properties, they will be expected to reach a rating of ‘C’ or higher by 2028. This, of course, offers a further 3 years to make the necessary improvements to properties. Again, failure to do so could result in monetary penalties.

How much will these improvements cost?

Of course, the new EPC regulations in 2025 are likely to have a hefty financial impact on landlords across the UK. Quite how large this might be will, of course, depends entirely on the current condition of the properties. On average, it’s predicted that landlords may need to pay between £2,000 and £10,000 to reach the desired ‘C’ rating.

Ultimately, by investing in the energy efficiency of a property this will save money in the long run. This being said, the upfront costs may be hard to swallow for some and it’s advised that landlords start making the improvements early if they own multiple homes.

Government grants

Some landlords may be eligible to claim the ECO4 scheme that the government are introducing to help mitigate the costs of the new EPC regulations in 2025. In order to apply for help with making the improvements, landlords must:

  • Own a rented property that is currently graded ‘E’ or below.
  • Rent a property to tenants who have claimed benefits within the last 18 months.
  • Own a rented property whose tenants are claiming Child Benefit.
  • Rent a property to tenants who meet the requirements of the local council’s flexible energy rules.
  • Own a rented property that falls within a council funding area.

In addition to the above, landlords can also apply for an EPC exemption. You can find out more information on this here.

Key takeaways…

To summarise, here are some of the key takeaways from today’s blog:

  • All newly rented properties (both residential and commercial) MUST reach an EPC rating of ‘C’ or above from 2025.
  • Any existing rented properties (both residential and commercial) MUST have an EPC rating of ‘C’ or above by 2028.
  • Some landlords may be eligible for the governments ECO4 scheme which could pay for or subsidise improvements.

How can Munday + Cramer help?

Need some help bringing your commercial or residential property up to scratch and in-line with the new EPC ratings in 2025? Munday + Cramer are a team of trusted and established architects and surveyors with 40 years of experience. For more information on working with us, get in touch by clicking here or by calling us on 01245 326 200.