From 1st October 2029, the current Energy Performance Certificate assessment system will begin to be replaced by the new Home Energy Model (HEM), providing a more detailed picture of a property’s energy performance.

For landlords, the changes are linked to new legal minimum energy efficiency standards.

From 1st October 2030, privately rented properties in England and Wales will need to achieve the equivalent of an EPC C, unless a valid exemption applies. However, landlords have an important opportunity before the new system is fully introduced.

If a property already has a valid EPC C or above before 1 October 2029, that certificate will remain compliant until it expires (normally after ten years). This means landlords who secure an EPC C before the deadline may not need to comply with the new Home Energy Model until their existing EPC expires.

Under the Home Energy Model, assessments will place greater emphasis on the overall performance and energy efficiency of the property, including:

• The thermal performance of the building (insulation, glazing and airtightness).
• The efficiency of the heating system.
• Smart energy technologies, such as solar panels and battery storage.

The Government has also confirmed a proposed £10,000 cost cap for improvement works, with qualifying expenditure from 1 October 2025 counting towards that limit. Several exemptions will remain available where improvements are not technically possible or practical, such as the property having Listed status.

For landlords, reviewing the property’s EPC now could provide a significant advantage before the new assessment methodology becomes mandatory.

Although the Home Energy Model won’t become mandatory until 2029, it’s already changing the conversation around property energy efficiency and the next few years will be an important opportunity to review existing EPC ratings and consider any improvements needed before the new Minimum Energy Efficiency Standards take effect in 2030.

If you would like to discuss the changes, or have any other rental queries, please do not hesitate to contact me.