EPC changes and exemptions landlords need to know
The government is working towards a higher energy efficiency standard for privately rented homes from 1 October 2030. For landlords, the practical first step is to check each property’s current EPC and understand the improvements or exemptions that may apply.
EPC rating guide. The current minimum is E, unless a valid exemption applies. C is the planned 2030 standard, subject to the new regulations and revised assessment method.
Why exemptions matter
New research from the National Residential Landlords Association (NRLA) suggests many landlords may be overlooking an important part of the rules. It found that 28% were unaware that Minimum Energy Efficiency Standards (MEES) exemptions exist, while 42% were not very or not at all confident that they understood them. Fewer than 2% said they had registered an exemption in the previous two years.
Today, a property covered by the domestic MEES rules generally needs an EPC rating of E or above to be let, unless a valid exemption has been registered. The government has confirmed its intention to move to the equivalent of EPC C for in-scope private rented homes by 1 October 2030. The legislation and detailed guidance for the new standard are still to follow.
What is changing
The future standard will use revised EPC measures. The government’s plan is for a property to meet a fabric performance standard, plus either a heating system standard or a smart readiness standard. An existing EPC showing a C rating by 30 September 2029 can be recognised as compliant until that certificate expires or is replaced, under the government’s announced transition approach.
The government has also announced a £10,000 maximum required spend per property under the future rules. Eligible improvements made from 1 October 2025 can count towards this cap, but expenditure on installing fossil fuel heating systems does not. Where an eligible property still cannot reach the standard within the applicable cap, a registered exemption may be available.
Exemptions that may help
Cost cap. The planned exemption applies where the required eligible spending has been reached, or the next cheapest measure would take spending over the £10,000 cap.
Property value adjustment. For a property worth less than £100,000, the planned maximum spend is 10% of its value rather than £10,000.
Solid wall insulation. Under a planned exemption, landlords may choose not to install solid wall insulation if that leaves the property short of the fabric standard, provided the exemption is registered.
Exemptions are not automatic. Eligibility depends on the property and the evidence required; a qualifying exemption must be registered before it can be relied on. The proposed new exemptions should not be confused with those available under the current EPC E rules.
What should landlords do now
Review the EPCs across your portfolio, identify homes below C and plan suitable improvements in good time. Keep EPC recommendations, quotations and evidence of eligible spending. If a property is older, has solid walls or may be expensive to upgrade, ask for property-specific advice before assuming that every recommended measure must be installed.
At Mannleys with Samuel Wood, we can help our managed landlords review their property information, flag EPC expiry dates and discuss the next steps as the regulations develop. Please contact our lettings team if you would like to review a property in your portfolio.
Sources: NRLA research, 17 September 2026; Department for Energy Security and Net Zero, government response, 21 January 2026; GOV.UK domestic MEES landlord guidance. Information reflects the announced policy at September 2026 and may change when the regulations are made.