If you are wondering about how to improve your property’s EPC ratings, this is a great place to start! Your EPC tells you how energy efficient your home is (rating from A to G). The report also gives recommendations on improving your EPC rating, for instance, upgrading from an E rating to C or above.
Here we look at some of the top EPC strategies to help you save on your energy bills.
What is EPC?
Energy Performance Certificates (EPCs) assess a building’s energy efficiency. EPCs rate a home from A (most efficient) to G (least efficient), estimating heating, lighting costs, and potential CO2 emissions.
An EPC provides:
- Cost-effective ways to improve your home’s energy efficiency.
- Insights on how the rating could improve with recommended changes.
Even renters can apply certain upgrades, like using energy-efficient light bulbs.
EPCs are valid for 10 years from when they are issued.
When Is an EPC Needed?
In the UK, an EPC is mandatory when selling, renting, or constructing a property. The certificate remains valid for 10 years or until a new one is issued and should be available when the property is marketed.
Why Should You Improve Your Property’s EPC Ratings?
Improving the Energy Performance Certificate (EPC) rating of your home is a smart investment, not only for energy efficiency but also for financial benefits.
According to a survey by Rightmove, the more energy efficient a property becomes, the lower annual energy bills it experiences. For instance, the annual energy bill of a 2-bedroom flat of EPC rating A is estimated to be £592 compared to £4,327 for an EPC rating of G.
Furthermore, a study by the Department for Business, Energy & Industrial Strategy (BEIS) found that upgrading to a higher EPC rating can increase property value by up to 14%, particularly in areas where energy efficiency is a key selling point.
Enhanced energy performance also aligns with future government regulations, as homes with lower EPC ratings may face restrictions on letting or selling in the coming years.
Strategies to Enhance the EPC Ratings of Your Property
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LED Lighting
While swapping out halogen light bulbs for energy-efficient LED lights won’t drastically improve your EPC rating, it’s one of the simplest and most affordable upgrades. For around £180, this switch could save you about £40 annually in Great Britain (GB) and £75 in Northern Ireland (NI).
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Replace Old Boiler
If your boiler is old, it’s likely inefficient. Considering that central heating makes up about 55% of your energy bills, upgrading could be highly beneficial. Though installation costs can be high, a new boiler might save up to £540 annually, quickly paying for itself through reduced energy bills.
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Efficient Air Conditioning System
Split-unit air conditioning systems can positively impact your EPC rating, offering additional perks like improved air quality and comfort. These systems adjust their cooling power based on the room’s temperature, ensuring efficiency. They are durable, require minimal maintenance, and are a good investment.
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Insulation of Hot Water Cylinder
Improved control over central heating can help limit costs. Installing insulation on your hot water cylinder costs about £600 but could save up to £130 annually in a semi-detached house. Dropping your thermostat by just one degree could save an extra £145 annually.
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Switch to Solar Energy
Many homeowners are turning to solar power to reduce their environmental impact. EPC recommendations focus on two types:
- Solar panels: A major upgrade, solar panels often boost your EPC rating by a band, though installation can be costly.
- Solar water heating: Like solar panels, this carries a hefty upfront cost but provides long-term savings and enhances your EPC rating.
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Double Glazing Windows
Approximately 15-20% of your home’s heat escapes through the windows. Double glazing is a popular solution for reducing heat loss, and while prices vary by material, PVC is usually cheaper than hardwood frames.
According to the Energy Saving Trust, installing A-rated double glazing in a semi-detached, gas-heated property can save around £140 annually.
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Installing Smart Metres
While a smart metre won’t directly improve your EPC rating, it offers better insights into energy usage, helping you identify areas to improve efficiency. It can also help you track how changes in your energy use affect your property’s overall performance.
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Upgrade or Install Loft Insulation
Adding loft insulation to a previously uninsulated property can save at least £200 on annual bills, and sometimes more depending on the size of property. Even upgrading loft insulation from 120mm to at least 270mm can save around £20 annually. If your loft is easy to access and free from dampness, you can likely insulate it yourself, making it an easy, cost-effective way to boost your EPC rating.
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Floor Insulation
Floor insulation is a key factor in improving a property’s EPC rating, especially for homes with uninsulated floors. According to the Energy Saving Trust, properly insulating your ground floor can reduce heat loss by up to 10%, significantly lowering energy consumption.
Installing insulation beneath wooden or suspended floors can save around £110 per year in heating bills. In homes where this is done, homeowners could see an EPC improvement by as much as 5-10 points, particularly in older properties where heat loss through floors is more prominent.
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Installation of Wall Insulation
Wall insulation, particularly cavity wall insulation, is one of the most effective methods to enhance a property’s EPC rating. Uninsulated walls account for around 35% of heat loss in homes. Cavity wall insulation can cut heat loss by up to 60%, leading to annual savings of up to £350 on heating costs.
For properties with solid walls, internal or external wall insulation can boost EPC ratings by two bands or more, providing significant energy efficiency benefits and long-term financial savings.
How to Read an EPC?
The information presented on an EPC varies depending on your location in the country and whether it applies to a new build or an existing property. In England, Wales, and Northern Ireland, EPCs are available to view online in full, while in Scotland, they are provided as PDFs.
Toward the end of the EPC document, you will find the full details of the Energy Assessor, including their name, contact details, and the accreditation scheme they are affiliated with. For any queries regarding the EPC, it is recommended to contact the Energy Assessor directly.
EPC Regulations
Since 2008, it has been a legal obligation to present an EPC rating when selling, renting, or extending the lease of a property.
With the updated Minimum Energy Efficiency Standards (MEES) regulations introduced in April 2023, all non-domestic rental properties must now achieve an EPC rating of E or above, with limited exceptions. Failure to comply can result in substantial fines based on the property’s rateable value and the severity of the breach, with penalties reaching up to £150,000.
Who Issues EPCs?
Only accredited domestic energy assessors are authorised to produce valid EPCs. A list of approved EPC organisations can be found in England, Wales, and Northern Ireland. If you’re selling or renting your property through an estate agent, they may assist in arranging the EPC for you.
In Scotland, only organisations approved by the Scottish Government can issue valid EPCs. The Scottish EPC Register contains a list of approved providers. If selling through a selling agent, they should arrange a Home Report, which includes the energy report and EPC.
Which Places are Exempted from EPC?
Certain types of buildings are exempt from needing an EPC, such as:
- Places of worship
- Temporary buildings in use for less than two years
- Buildings scheduled for demolition
- Industrial sites, workshops, and non-residential agricultural buildings with low energy usage
- Properties used for less than four months per year
Cost of an Energy Performance Certificate (EPC)
The cost of obtaining an EPC typically ranges from £60 to £120. It’s important to note that if you’re selling or renting out your property, an EPC is required, or you may face a fixed penalty charge of £200.
The price of an EPC can vary based on factors such as:
- The type of property
- The size of the property
- The number of bedrooms
- Your location
Assessors may charge different fees, so it’s advisable to obtain multiple quotes from accredited assessors or organisations to secure the best price.
Government Incentives and Schemes for Improving EPC Ratings
Various UK government incentives and schemes are available to support homeowners in making energy-efficient upgrades to improve their EPC ratings. These programmes can help reduce the financial burden of implementing energy-saving measures, making homes more efficient and environmentally friendly. Below are some key initiatives:
ECO4 (Energy Company Obligation)
ECO4 is a scheme that requires large energy suppliers to help low-income, fuel-poor households make energy efficiency improvements. Eligible households can receive upgrades such as insulation, heating system improvements, or even renewable energy installations like solar panels. The scheme aims to improve EPC ratings, lower energy bills, and reduce carbon emissions.
Click here to answer a few questions and confirm your eligibility
Boiler Upgrade Scheme (BUS)
The Boiler Upgrade Scheme provides grants of up to £6,000 to homeowners in England and Wales for replacing gas boilers with heat pumps or other low-carbon heating systems. Switching to a heat pump can drastically improve a property’s EPC rating by increasing heating efficiency and reducing energy consumption.
GBIS (Great British Insulation Scheme)
GBIS is designed to help households in Great Britain install insulation, such as cavity walls or loft insulation, at reduced costs. This scheme primarily targets middle-income homes and supports EPC improvements by reducing heat loss, resulting in lower energy consumption and improved energy efficiency.
Smart Export Guarantee (SEG)
The SEG allows homeowners with solar panels to receive payments for the surplus energy they export back to the grid. While not directly improving EPC ratings, it encourages the adoption of renewable energy, which can have a positive impact on energy efficiency and household sustainability.
EPC Ratings and Future Legal Requirements
Future legislation concerning EPC ratings is expected to become stricter, particularly affecting homeowners and landlords.
The UK government has proposed that by 2025, all newly rented properties must have an EPC rating of C or higher, with this requirement potentially extending to all existing rentals by 2028.
These changes are part of the government’s broader strategy to meet its carbon reduction targets by 2050. For landlords, this means they may need to make significant energy efficiency improvements to their properties, such as upgrading insulation or replacing heating systems, to remain compliant with the law.
Non-compliance could result in heavy fines and restrictions on letting properties. Homeowners looking to sell may also face reduced property values if they fail to meet future energy standards. As regulations tighten, investing in energy efficiency now can help future-proof properties and avoid costly upgrades later.