What Are the New EPC Rules for Landlords? Coming in 2030

All private tenancies in England and Wales must achieve an EPC C rating by 1st October 2030, following the government’s 2026 roadmap.

This single deadline replaces previous plans for a phased rollout, meaning both new and existing tenancies will have the same cutoff date.

To hit this target, landlords may be required to invest up to £10,000 per property, with new £30,000 fines in place for those who miss the mark.

1. What’s changing?
2. The single 2030 deadline
3. The £10,000 investment cap
4. The new dual-metric standard
5. The “grandparent” clause
6. New and updated exemptions
7. Penalties and fines

What’s changing?

The government’s new roadmap moves away from the old, cost-based Energy Efficiency Rating (EER) and introduces a more nuanced assessment system.

We’ve waded through the latest policy update to pull out the key pillars that will help you plan ahead for the next few years – whether you’re looking after a single property or managing a full portfolio.

These new EPC rules for landlords apply only to private rented properties in England and Wales.

Let’s get into it…

1. The single 2030 deadline

The biggest shift is the move to a single compliance date. Unlike previous proposals that suggested an earlier 2028 start for new tenancies, the government has simplified things: all properties in scope must be compliant by 1st October 2030.

While this gives you more time to plan, it also means a massive influx of demand for the supply chain as the deadline nears.

2. The £10,000 investment cap

The government has capped the required investment at £10,000 per property, including VAT. But don’t let that headline figure rattle you; the government’s own impact assessment puts the real estimate for the average actual spend at a much more manageable £5,400. 

This is because most properties won’t need a “deep retrofit” to hit the target, and many higher-cost measures will simply age out of the cap once you’ve already ticked off the basics. Moreover,:

• You can leverage grants like the Warm Homes: Local Grant or ECO4, which count toward your £10,000 cap.
• The Boiler Upgrade Scheme (BUS) is the one notable exception, meaning you can’t use its £7,500 voucher to “chip away” at your £10,000 obligation. However, you can use it alongside your own capped investment to install a high-value heat pump without it eating your entire budget.
• The zero-rate of VAT on energy-saving materials (like insulation) is locked in until March 2027. Plus, many upgrades (including heat pumps) can now be treated as tax-deductible repairs or maintenance rather than capital improvements, provided they replace an existing system.

Keep in mind, it’s best to act early, as any relevant spending from 1st October 2025 already counts toward your £10,000 cap.

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You might also be interested in…

• Energy Performance Certificates (EPCs): The 2026 Guide for Landlords
• What Are the New EPC Rules for Landlords? Coming in 2030
• EICR Explained: Electrical Safety Certificates for Landlords
• How to Rent Directly From a Landlord and Get It Right
• How to Serve a Section 8 Notice

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3. The new dual-metric standard

This is where it gets technical. To be compliant, your property must meet two different metrics under the new EPC rules for landlords, as the government is moving away from a single “cost-based” score.

The goal is to ensure properties have a baseline of thermal efficiency before layering on new technology.

• The primary standard (fabric performance): You must first invest in measures that improve the property’s actual structure. This includes things like cavity wall insulation, loft insulation, underfloor insulation, draught-proofing, and double glazing.
• The secondary standard (landlord’s choice): Once the fabric standard is met (or an exemption is registered), you have the discretion to choose which secondary metric to hit:
  • Heating system: This involves upgrading to energy-efficient, low-carbon alternatives like heat pumps or connecting to a low-carbon heat network. It also includes “smaller” wins like heating controls, hot water cylinder insulation, and solar water heating.
  • Smart readiness: If you’d rather keep your existing heating system, you can focus on “smart” upgrades instead. This covers solar panels (PV), battery storage, and smart meters.

The government has been clear: you won’t be forced to replace a working gas boiler with a heat pump. If your property can’t meet the “smart readiness” standard even after trying recommended measures, you aren’t then required to switch your heating system just to comply.

4. The “grandparent” clause

If you’ve been proactive, you’re in luck. Any property that achieves a C rating against the current Energy Efficiency Rating (EER) metric before 1st October 2029 will be considered compliant until that EPC expires – even if it doesn’t meet the new 2030 metrics. This is essentially a “reward” for landlords who act early under the existing system.

• The deadline for existing EPCs: To use this clause, you must have a valid EPC showing a C or higher before the 30th September 2029 cutoff.
• Legacy metric: The EER (the cost-based score we use today) will be kept as a “legacy metric” on reformed EPCs for a limited time, specifically to support this transition.
• Validity period: Since EPCs are valid for 10 years, hitting a C in 2028 could technically keep you compliant until 2038 without needing further upgrades.
• What if it expires? Once your “grandparented” EPC expires, you must commission a new-style EPC and meet the new dual-metric standards if the property falls below the mark.

 If your property is currently rated D or below, the government will actually require you to get a new reformed EPC before you start any upgrade works. This ensures your investment is guided by the latest recommendations rather than outdated data.

5. New and updated exemptions

Not every property can hit an EPC C rating, often due to the building’s age or a simple lack of viable “fabric” options. To prevent landlords from being forced into impossible investments, the new EPC rules include several “safety nets”.

• Property value adjustment (affordability exemption): If your property is valued at less than £100,000, you aren’t tied to the full £10,000 cap. Instead, your required spend is capped at 10% of the property’s value. For example, for a property worth £70,000, your maximum investment would be £7,000.
• Solid wall insulation exemption: You can now register an exemption if you prefer not to install solid wall insulation, provided it’s the only measure left to hit the fabric standard.
• 10-year validity: The “Cost Cap” and “Affordability” exemptions now last for 10 years instead of the usual five.
• Negative impacts exemption: This new category combines the old “Devaluation” and “Wall insulation” exemptions. It allows you to opt out of a measure if you can provide evidence that it would physically damage the building’s structure or reduce its market value by more than 5%.
• New landlord grace period: If you’ve recently taken over a property with a tenant already in situ, you can register for a six-month temporary exemption. This gives you a bit of breathing room to arrange upgrades or gather evidence for a longer-term exemption.

6. Penalties and fines

The government is tightening the screws on enforcement to make sure the 2030 targets are met. With new powers and a centralised database, non-compliance is about to get a lot more expensive.

• Local authorities can now issue fines of up to £30,000 per property, per breach. This applies to letting a non-compliant home, failing to follow a compliance notice, or registering false or misleading information on the exemptions register.
• The PRS Database, expected to roll out from late 2026, will require you to register yourself and every property you let. This allows councils to automatically cross-reference your data with the EPC register to spot non-compliance from miles away.

Last but not least, local authorities will have expanded powers to issue compliance notices, requesting up-to-date EPCs, tenancy agreements, and evidence of any energy improvements made. Enforcement will prioritise properties that fall below the minimum standard to protect tenants most at risk of fuel poverty.

Final thoughts

We know that keeping up with shifting rules is a massive headache, but looking at these changes as a long-term plan can make them feel more manageable. 

Acting early is a smart move – every pound you spend from 1st October 2025 counts towards your £10,000 cap, which basically means you can stagger the costs on your own terms rather than rushing in 2030.

It’s also worth double-checking your property value, because the 10% cap for lower-value homes could save you a significant amount of money and unnecessary stress. 

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