Energy efficiency: NRLA addresses minister at high-level roundtable

The NRLA told energy minister Miatta Fahnbulleh more time and more clarity over funding is needed if the Government’s energy efficiency ambitions are to be realised, at a high-level meeting this week. 

Representatives from across the industry met the minister and a team of key civil servants at the first of four roundtables, organised to examine the proposals in detail. 

The Government is planning to introduce a new requirement for rental homes to have a minimum EPC rating of C, with an ultimate deadline of 2030 for compliance. To achieve this, landlords will be expected to pay up to £15,000 per property for improvements.  

Wednesday’s meeting focussed on barriers to the plans as they stand, allowing us to raise what we believe to be major issues with the proposals; with support from other leading organisations from both within, and outside, the private rented sector. 

These included issues around: 

Timescales: Whilst the minister affirmed the Government’s commitment to moving fast and delivering on its promises to “deliver homes that are warmer and cheaper to run”,  A common theme amongst those who addressed the meeting was the ‘unreasonable’ or ‘unrealistic’ nature of the timetable and 2030 deadline.  

Lack of certainty over methodology and funding: The Government has just this week ended a consultation into the way in which EPCs are calculated, and although some targeted funding is available, primarily for low-income areas, we argued more is needed. The group also reminded the Government’s representatives that there is yet another consultation due later this year, on the Home Energy Model, further muddling what landlords need to do to meet revised targets.   

Skills and supply chain: There is currently a shortage of 166,000 skilled tradespeople which will rise to 250,000 by 2030, begging the question, who will carry out this complex work? We are calling for a firm training commitment from the Government to bridge this gap. 

Uncertainty about enforcement: The group asked who will be responsible for this and how will it be administered – and funded.  

We also asked for incentives such as greater tax efficiency for landlords carrying out works, suggesting certain improvements could be treated as revenue expenses/allowable expenses for tax purposes – something  the minister agreed to discuss with the Treasury. 

NRLA policy director Chris Norris who attended the meeting said: “This was a positive opportunity for us to engage directly with the minister, who, for her part was keen to encourage an open dialogue, not least on what the timetable for change could and should like. 

“Deadlines are only effective if they are reasonably achievable and, with around 2.5 million rental homes currently graded as D-G on their EPC it is clear that what is currently on the table at present is not. Even if the improvements were fully funded and upgrades started tomorrow we still don’t have the tradespeople to carry out the work. 

“Pulling thousands, if not tens of thousands of homes from the rental market if they failed to hit the 2030 deadline would have a devastating impact on supply and affordability for tenants – the very people this legislation wants to support, so it is clear more work is needed on these timelines.” 

The NRLA will continue to campaign for positive change at future meetings, so keep an eye out on our news site and social media channels for further updates. 

More information 

• For a more detail on the new proposals, click here, with frequently asked questions available here. 

• The Government’s proposals were the subject of our most recent recording of NRLA  podcast Listen Up Landlords which you can listen to here 

• The NRLA’s award-winning training academy runs a retrofitting course for landlords. For more information click here.  

• NRLA partner, retrofitting experts Domna also offers exclusive discounts for NRLA members - for more information click here.