60% of Homes Now Achieve an EPC Rating of C or Above, Reveals epIMS
A new analysis by epIMS shows a significant improvement in energy efficiency across England and Wales, with 60.5% of homes now receiving an Energy Performance Certificate (EPC) rating of A, B, or C – the highest proportion recorded in the past decade.
A Decade of Progress
epIMS reviewed EPC lodgement data spanning the last 10 years to track how energy efficiency ratings have shifted over time. In 2014, nearly 70% of properties were awarded a rating of D or lower, with D ratings alone accounting for 44.4% of the 2.2 million certificates issued that year. Over the ensuing years, there has been a steady move towards better ratings, and by 2021, properties with ratings from A to C outnumbered those with lower scores. Notably, 2021 saw 51.6% of certificates rated at C or above, with the most common rating shifting from D to C for the first time.
Implications for Landlords
With the Government planning to mandate a minimum EPC rating of C for all private rental properties by 2030, many landlords have expressed concerns regarding the potential costs and effort required to upgrade their properties. However, the current trend – where a majority of homes already meet or exceed the C standard – suggests that this transition may be less burdensome than anticipated.
Factors Driving the Improvement
Advancements in building materials and heating systems have contributed significantly to this gradual shift towards higher energy efficiency. Additionally, the integration of advanced technologies like artificial intelligence has enhanced the ability to quickly identify and address areas in a home that require improvement, making energy upgrades both practical and affordable.
Craig Cooper, COO of epIMS, commented on the findings:
“Landlords may have concerns when it comes to being forced to upgrade all of their properties to an EPC rating of at least C, but the nation’s dwellings have already been steadily improving year on year even without governmental pressure to do so. Advancements in areas such as building materials and heating systems mean that energy efficiency in the home is improving as a matter of course. Our ability to understand how best to improve efficiency is also improving, with advanced technology such as AI now able to analyse a home and quickly identify its weak spots which can then be addressed in the most practical and affordable way. As such, landlords who are concerned about the time and cost required for upgrading their properties in order to adhere with the Government’s proposed rules might actually be pleasantly surprised at how affordable it is, just so long as they approach the challenge in the most efficient manner. epIMS has been specifically designed to enable them to do this – offering a path to maximum efficiency with minimum expenditure.”
Looking Ahead
The steady improvement in EPC ratings provides a promising outlook for the private rental sector. As technology and building standards continue to evolve, the gap between current performance and future regulatory requirements is expected to narrow even further. Landlords are encouraged to adopt efficient upgrade strategies, leveraging modern tools and techniques to ensure compliance and enhance property value without incurring excessive costs.
This report by epIMS not only highlights a decade-long trend towards better energy performance but also reassures stakeholders that the anticipated regulatory changes are on track with current market realities.