New EPC Targets for Social Housing

[Update: The launch of HEM based EPCs has been delayed until late 2027]

EPC targets will become mandatory for social housing in England from 2030.

Until now, Minimum Energy Efficiency Standards (MEES) have only applied to private landlords, leaving local authorities and housing providers to set their own targets for social houses.

🔑 This announcement is one of five key targets of the new Decent Homes Standard (which I’ll cover in my next post).

⏪ Skip back through my previous posts to see what’s changing with Energy Performance Certificates, and how MEES is changing in the private sector.

What will social landlords need to do?:

By 1st April 2030, every social house in England must have one of the following:

🔵 A valid, old-format EPC (using SAP), with an A, B or C rating, OR

🟢 A new-format EPC (using the Home Energy Model), with an A, B or C rating against ONE of the three main targets (Fabric performance, heating system, or Smart readiness).

There's a key difference here compared to private rentals... PRS landlords must prioritise improving the fabric target first, before moving on to the Heating and Smart targets.

To recap what the new EPC targets refer to:

🧱 The new Fabric rating will focus on insulation, glazing and air permeability

♨️ The Heating rating will focus on the efficiency and carbon intensity of the heating system

☀️ The Smart rating considers onsite electricity generation (PV), storage (battery) and load shifting (off-peak tariffs).

Social housing landlords are being given greater flexibility to improve the energy performance of houses as they see fit, so if a house scores:

❌ 🧱G ♨️D ☀️F

they may choose to improve the heating instead of the fabric.

✅ 🧱G ♨️C ☀️F

This is Part 1 of a two-part plan. From 2039, all social housing will need to score TWO A, B or C ratings on the EPC.

❌ 🧱G ♨️C ☀️F

✅ 🧱G ♨️C ☀️C

I've made (another) flow chart as an easy reference guide 🔽 

Social rental landlords should check the EPCs of all their properties. If the certificate is valid after April 2030 and achieves an A, B or C rating, no further action is required. Poor performing properties will need to be renovated to meet the new Standard.

⌚ Even though new-style EPCs won't be available until the end of the year (at the earliest!), landlords can prepare now by checking the validity dates and ratings of the EPCs of their current housing stock.

If an EPC is valid post 2030, and scores an A, B or C, it won't need to be upgraded before the new rules come in.

For houses where meeting these new standards isn't possible, there will be allowable exemptions. These haven't been confirmed yet, but likely to include a cost cap, grace periods for new owners, and allowances for heritage buildings.

I'll be posting more about the roll-out of the new-style EPC in the coming months.

Official link here:

https://www.gov.uk/government/consultations/improving-the-energy-efficiency-of-socially-rented-homes-in-england