Concern is growing over the one-size-fits-all government demand for energy efficiency improvements in the private rental sector.
Last week the government confirmed that all private rental properties must be EPC rates C or higher by 2030 with a cost cap of £15,000 for landlord spending on each property.
Now The Property Institute says the initiative does not address the issue of tall blocks of leasehold flats.
Jaclyn Mangaroo of TPI says: “The Property Institute welcomes the Government’s announcement … but the proposals do not directly address or consider the unique challenges faced by those living in tall buildings, particularly in leasehold blocks, where improvements are typically prohibited.
“With over 20% of households in England and Wales living in flats, maisonettes, and apartments, and nearly five million leasehold homes in England – many in older, inefficient tall buildings – decarbonisation efforts must account for the legal and architectural barriers preventing improvements and upgrades.
“Almost 40% of leasehold homes are rented out in the private sector, so without a specific mechanism in place to improve these homes, the supply of rental homes will be significantly impacted if they cannot meet the EPC targets.
“To truly tackle fuel poverty and meet net zero targets, the Government must develop a tailored strategy and funding mechanisms to support retrofitting and low-carbon heating in high-rise housing.”
The British Property Federation – one of the leading voices in the Build To Rent sector – welcomes the proposals but doubts the timescale.
A BPF officer says: “We fully support the drive to improve energy efficiency across the domestic rented sector, but given we have effectively lost four years, with the target initially suggested in 2020 but not confirmed, it will be challenging for all properties in the private rented sector to achieve EPC C by 2030.
“We would like to have seen recognition of the time lost reflected through a gentler trajectory, to provide the sector with sufficient time and support to carry out necessary work.
“The sector also needs certainty around the targets, essentially looking for confirmation that this will be the end target, rather than further targets being announced, as this can add to uncertainty and investment decisions.”