In 2021, the government announced proposed legislation that would require rental properties to have a minimum Energy Performance Certificate (EPC) rating of C by 2025. EPC ratings range from A (highest) to G (lowest). Homes with A ratings are typically modern properties that feature high levels of insulation and efficient heating systems, such as heat pumps. Homes with the lowest ratings tend to be period properties that are poorly insulated with old heating systems. The latest government data for energy efficiency in private rented housing found that 56% of tenants (2.52 million) are living in homes with an EPC rating below C.

The impending proposed requirements had many landlords scrambling to find ways to improve the rating of their properties. In older properties this was particularly difficult, as implementing these energy efficiency measures could be challenging and costly. For some landlords, the new proposals combined with increased mortgage rates and an increasingly complicated maze of compliance, had led them to consider selling up.

Rishi Sunak has delivered a speech in which he announced that the policy has been scrapped. This is going to mean big savings for landlords, research by Hamptons suggested that landlords faced an average cost of £8,000 per property to meet requirements. Unfortunately for tenants, this will leave many to live in properties without the benefits that come with modern energy efficiency improvements. Energy bills have soared recently, and scrapping this policy won't help the situation. Despite Rishi Sunak's insistence that the target for net zero by 2050 remains, scrapping this policy will certainly have a negative effect on the planet.