If you have been half-following the EPC C story over the past few years, you would be forgiven for wondering whether anybody really knew what was happening.
Standards were proposed, delayed, dropped and revived. Dates came and went, with 2025, 2028 and 2030 all appearing in headlines and landlord guidance at various points.
We finally have much greater clarity.
In January 2026, the government published its response to the consultation on improving the energy performance of privately rented homes in England and Wales. It sets out the government’s final policy position, although the legislative changes are still subject to Parliamentary approval.
So, what does it actually mean for landlords?
What has actually been confirmed?
Privately rented homes will need to meet the equivalent of EPC C under the new system by one deadline:
1 October 2030.
Crucially, this applies to all tenancies.
Earlier proposals suggested a two-stage approach, with new tenancies complying first and existing tenancies following later. That has now been dropped.
So, if you have previously read that landlords need to comply by 2028 when starting a new tenancy, that information is now out of date. The government’s policy is for one compliance date for all tenancies: 1 October 2030.
How will the new standard be measured?
This is where things get slightly more complicated, because the future standard is not simply the EPC rating landlords are familiar with today.
The government has opted for a dual-metric approach using reformed EPCs.
Properties will first need to meet a fabric performance standard, focusing on the energy efficiency of the building itself. This considers the elements that affect how effectively a property retains heat.
Landlords will then need to meet one of two secondary standards:
- a heating system standard
- a smart readiness standard
The choice between the two will sit with the landlord.
The important point is that improving a rental property’s energy performance will not simply be a case of replacing a boiler or installing a smart thermostat. Fabric performance comes first, followed by one of the two secondary measures.
How much could EPC C improvements cost?
There is a cost cap, and it is considerably higher than the £3,500 figure landlords may remember from the existing rules.
Under the government’s new policy, the maximum investment is £10,000 per property.
For properties valued below £100,000, the cap will be the lower of £10,000 or 10% of the property’s value.
However, that does not mean every landlord should expect to spend £10,000. The government’s impact assessment estimates an average investment of approximately £5,400 per property.
If a property still fails to meet the required standard after the landlord has invested up to the relevant cost cap, a cost cap exemption can be registered. This exemption will last for 10 years.
Other exemptions will also be available where appropriate.
The key message is that landlords now have a clearer framework within which to plan, rather than facing an unlimited bill for improvements.
What if your rental property is already EPC C?
There is good news for landlords whose properties already meet the current standard.
If a property achieves EPC C or above against the existing Energy Efficiency Rating before 1 October 2029, it can be recognised as compliant with the future standard until that EPC expires.
That means achieving the current C rating before the cut-off could provide landlords with valuable additional time.
It is also a good reason to understand the current EPC position across your portfolio rather than allowing certificates and improvement plans to drift.
Why is there still conflicting EPC advice online?
Because the proposals have changed several times.
Search online and you may still find articles referring to a 2028 deadline for new tenancies or the previous £3,500 cost cap. These figures relate to earlier proposals or existing requirements rather than the government’s January 2026 policy.
Whenever you read guidance about landlord EPC requirements, check when it was published or last updated.
The information in this article is based on the government’s response to the consultation on improving the energy performance of privately rented homes, published in January 2026.
What should landlords do between now and 2030?
First, understand where you are starting from. Check the current EPC for every rental property you own and make a note of its rating and expiry date.
Then consider the fabric of properties likely to require improvement. Insulation, glazing, draught proofing and other measures that improve the thermal performance of the building are likely to become increasingly important under the new system.
Most importantly, plan ahead.
Where possible, incorporate energy efficiency improvements into your normal maintenance schedule or periods when properties are vacant. Carrying out work between tenancies can often be simpler than trying to complete significant improvements around tenants.
It is also worth checking what grants or financial support may be available before committing to work, as schemes and eligibility criteria can change.
Finally, keep invoices, certificates and evidence relating to improvements. If you eventually need to rely on a cost cap exemption, records of qualifying expenditure will be important.
Not sure where your portfolio stands?
October 2030 may sound a long way away, but landlords with several properties could have a significant amount of work to assess, budget for and potentially complete.
Starting with a clear picture of your portfolio now gives you the opportunity to spread costs, plan improvements sensibly and avoid a last-minute rush.
If you would like a straightforward conversation about your rental properties and what the changes could mean for you, speak to our lettings team.
Frequently asked questions
What EPC rating will rented homes need by 2030?
The government’s policy is for privately rented homes in England and Wales to meet a standard equivalent to EPC C using new EPC metrics by 1 October 2030, unless a valid exemption applies. The legislative changes remain subject to Parliamentary approval.
Is there still an EPC deadline in 2028 for new tenancies?
No. The government has dropped the proposed earlier deadline for new tenancies. Its January 2026 response sets a single compliance date of 1 October 2030 for all tenancies.
How much will landlords have to spend?
The cost cap will be £10,000 per property. For properties valued below £100,000, it will be the lower of £10,000 or 10% of the property’s value. The government’s impact assessment estimates average expenditure of around £5,400 per property.
What happens if a property cannot reach the required standard?
If a property still falls short after the relevant cost cap has been reached, landlords will be able to register an exemption. The cost cap exemption will last for 10 years.
Does my current EPC C still count?
A property achieving an Energy Efficiency Rating of C or above before 1 October 2029 can be recognised as compliant with the future standard until that EPC expires.
If you know another landlord who would find this information useful, please pass it on.
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We belong to the Ethical Agent Network (EAN), a national group of independent agents who have passed an independent assessment covering honesty, service and community care. Membership is earned, rather than simply bought.
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Source: UK Government, Improving the energy performance of privately rented homes: government response, published 21 January 2026.
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