E3G, an independent climate change think tank, published a briefing on 10 July 2024 setting out how a higher energy efficiency standard could be implemented in the private rented sector in England and Wales, alongside reform of renters' rights, financial support and enforcement1.
The briefing states that more than half of homes in the private rented sector are below an Energy Performance Certificate (EPC) of C, and that improving all private rented homes to EPC C would reduce average bills by £300 a year and result in at least £0.2bn of annual bill savings in the NHS1. It says a fairer and higher quality private rented sector is "direly needed" in England and Wales, with tenants facing high rents and homes that often fall below the Decent Homes Standard1.
On fuel poverty, the briefing cites figures showing that since 2010 it has reduced by 35% among owner-occupiers, by 54% among social housing tenants, but by only 4% for private renters1.
"A higher efficiency standard in the private rented sector will improve the lives of millions of households living in cold, damp, inefficient homes."
E3G sets out three areas it says policy design must cover: completing the programme of reform needed to strengthen renters' rights; financial support for landlords and tenants; and a framework to deliver and enforce the standard1. It notes that the previous government had already consulted on and conducted an impact assessment for a Minimum Energy Efficiency Standard (MEES) of EPC C, which it says means decision making can be swift1.
| Area set out in the briefing | What E3G says it covers |
|---|---|
| Renters' rights | Complete the programme of reform needed to strengthen them |
| Financial support | Support for landlords and tenants |
| Delivery and enforcement | Build a meaningful framework to deliver and enforce the standard |
Why it matters for households
For private renters, the briefing's central claim is a bill figure: an EPC C standard across the sector would cut average bills by £300 a year1. The fuel poverty figures it cites point to a gap between tenures, with private renters seeing a 4% reduction since 2010 against 35% for owner-occupiers and 54% for social housing tenants1. The briefing links this to the condition of the stock, stating that more than half of private rented homes fall below EPC C1.
For a household, the practical question is who pays for an upgrade and who controls the decision. In the private rented sector the person who pays the bills, the tenant, is usually not the person who decides on insulation and glazing or a new heating system. That split is why the briefing treats financial support for landlords and tenants and enforcement as necessary parts of the standard rather than optional extras1. The MEES framework for rented homes is the existing mechanism through which such a standard would operate, and the EPC regulations and reform determine how a property's rating is set in the first place. The briefing's scope is England and Wales; the private rented sector's size, stock and energy performance and the Renters' Rights Act and home energy in England set out the wider context, while Scotland has its own energy efficiency standards for privately rented homes and a separate Repairing Standard.
What happens next
The briefing does not announce a government commitment or a date for implementation. It states that the previous government had already consulted on and conducted an impact assessment for a MEES of EPC C1. No timetable for introducing the standard, and no decision by the current government, has been reported1.