Nowhere near net zero homes! Energy performance ratings in England are dire… here’s

More than half of properties in England fall below the C energy performance certificate rating which landlords will be required to meet by 2030, findings suggest. 

Of all the homes in the UK, including those owned by landlords and owner occupiers,  74,770 homes scored top marks with an A EPC rating, according to an analysis by door and window supplier Eurocell.

This represents just 0.3 per cent of the country’s housing stock. 

The EPC rating system runs from A, the most efficient, to G, the least.  

The D rating was the most common across England, with over 9.3million homes in this category – suggesting that landlords may have to shell out to get their properties up to code. 

This could involve improving insulation, replacing windows or installing more energy efficient boilers.  

Could be improved: More than half of homes in England fall below the C energy performance certificate rating, data shows

Where are homes least energy efficient?

According to the research, Eden in Cumbria has the least energy-efficient housing in England. 

In Eden, 17 per cent of the 24,361 homes were classed as either an F or G on the energy efficiency scale.   

Experts at Eurocell claimed the lower ratings were due to ‘outdated insulation on older properties’. 

It added: ‘Many homes here are traditional stone cottages, often built before insulation standards existed.’ 

In west Devon, about 15 per cent of properties were found to have an EPC rating of F or G. Eurocell claimed this was down to many homes in the area ‘relying on costly oil or solid-fuel heating systems.’ 

Across Cornwall, over 14 per cent of homes fell into the lowest energy efficiency bands, ‘worsened by ageing properties and a damp coastal climate.’ 

Ryedale in north Yorkshire also performed poorly, with more than 15 per cent of properties in the lowest EPC bands. 

At the other end of the spectrum, Tower Hamlets in London came out on top. According to the research, over 34 per cent of properties in the area had ‘above average’ EPC ratings.

Eurocell said the high EPC ratings in Tower Hamlets were due to modern developments and ‘a large wave of new housing developments’ in the last few years. 

Other high performers included Vale of White Horse in Oxfordshire and Greenwich in London.  

State of play: The number of UK homes in each EPC rating band

Speaking to This is Money, Helen Godsiff, brand manager at Eurocell, said: ‘With the government’s EPC ratings target set for 2030, landlords face increasing pressure to make energy efficiency improvements. 

‘Many older properties will require significant upgrades, such as new windows, doors, and insulation, to meet these standards.

‘As a first step, landlords should research the energy ratings of their properties and pay particular attention to the maximum potential rating if they make all the necessary improvements. 

‘If a property is already close to a C rating, small changes like better insulation or double glazing may be enough. 

‘However, if it’s rated much lower, the cost of meeting the new requirements could be significant.’

She added: ‘Whether or not this pushes some landlords to choose to sell on their properties instead of spending to upgrade them remains to be seen, but those looking at improvements should also be considering how to future-proof against further regulatory changes in the future.’   

What’s changing for landlords?

The EPC system, first introduced in 2007, rates properties by energy efficiency, with the most efficient properties rated A and the least efficient G. 

At present, private properties in England and Wales need to reach at least level E to be rented out. 

However, as mandated by the Labour Government, private landlords will need an EPC rating of C or above by 2030. 

Labour has claimed implementing the new EPC requirements could reduce the average tenant’s energy bill by £240 per year, as well as improving the general quality of rented properties. 

It will be up to landlords to pay for upgrades to reach this level, such as replacing boilers, improving insulation, and double-glazing windows, with costs capped. 

One of the proposals being consulted on is that landlords wouldn’t be required to spend more than a maximum cap of £15,000 per property to make the upgrades, or £10,000 if they could prove their rents were lower than average. 

The Government has estimated that it will take between £6,100 to £6,800 to improve a property to the required standard. 

In September 2024, Labour announced that the new rule would also apply to councils and housing associations in England. 

There are measures in place to support landlords with the financial implications of upgrading a home’s EPC rating. In some cases, grants will be available.  

How to improve your EPC rating

EPC assessments are charged at between £60 and £120. You can check a property’s rating at gov.uk/find-energy-certificate. This covers homes in England, Wales or Northern Ireland. 

There are a number of steps you can take to boost the EPC rating in your home or rental property. 

Changes that could make a home more energy efficient include sealing draughty gaps, installing double glazing, adding loft or cavity wall insulation, upgrading the boiler and replacing it with a heat pump or biomass boiler and putting solar panels on the roof.

On the importance of getting rid of draughts, Eurocell said: ‘Draughts and air leaks around windows and doors can significantly impact energy efficiency. 

‘Left unchecked, what starts as a small draught can spiral into a much larger structural issue. Use a high quality sealant to seal up any problem areas and you should notice your home is warmer straight away.  

According to figures from Ovo Energy, the average cost of adding loft insulation to an E-to-F-rated property is about £800 to £900, and cavity wall insulation, at around £2,700. 

Adding ten solar panels would cost around £6,300 and an air source heat pump often totals £5,000 or more, despite the installation including a government grant for up to £7,500.