Energy UK has set out its response to the Government's consultation on reform to the Energy Performance of Buildings regime, which proposed changes to the way Energy Performance Certificates (EPCs) incentivise the decarbonisation of homes and buildings in England and Wales1. The trade body's position was published on 12 March 20251.
EPCs currently measure a property's energy efficiency on a scale from A to G, with A the highest rating1. Under the proposals, EPCs would carry four metrics covering energy cost, fabric efficiency, heating system and smart readiness, plus two secondary metrics on energy use and carbon1. Energy UK describes the present single A to G rating as "too simplistic" and lacking the detail needed to tell homeowners and landlords which measures would improve a property's comfort, cost and energy efficiency1.
"EPCs will underpin the Warm Homes Plan, and action should be taken swiftly to bring forward the reforms set out in the Government's consultation."
The response also covers accuracy. A 2018 government call for evidence on EPCs found most respondents blamed assessors incorrectly inputting data for variation in ratings, attributing this to a lack of assessor expertise1. Energy UK has supported better training for energy assessors and called for a broader review of whether that training is sufficient1. On consumer engagement, Energy UK cites its own polling with One Home finding 28% of people did not think their property needed energy efficiency improvements, against a figure of only 3% of homes in England and Wales rated B or better1. It calls the consultation a missed opportunity to gather evidence on how EPCs should be redesigned to engage homeowners and landlords, while noting the consultation document states the Government will do more research with customers1.
EPCs are a devolved policy, and the Scottish Government has run its own consultation on reform1. The consultation's proposed minimum standards for the private rented sector in England and Wales, requiring EPC C or above by 2030, sit alongside the EPC reforms; Energy UK states 55% of rented properties fall short, and that 24% of private rented sector households were in fuel poverty in 20221.
| Proposed EPC metric | Status |
|---|---|
| Energy cost | Primary |
| Fabric efficiency | Primary |
| Heating system | Primary |
| Smart readiness | Primary |
| Energy use | Secondary |
| Carbon | Secondary |
Why it matters for households
An EPC is the document a buyer or tenant sees before committing to a home, and it is the reference point for rules on rented property. If the rating is a single letter, it says little about whether a home is expensive to heat, poorly insulated, or fitted with a heating system that suits a heat pump or smart tariff later. Splitting the rating into separate metrics would separate the cost of running a home from the quality of its fabric and the readiness of its systems, which are the parts a household can act on. The smart readiness metric is intended to assess a building's potential to integrate smart technologies that optimise energy consumption and let consumers benefit from cheaper smart tariffs1. Energy UK also points to research commissioned by ScottishPower and WWF finding that an air source heat pump, solar panels and an electric vehicle charge point together could add an average of £10,000 to a home's value1, and to Rightmove research finding a move from EPC D to C can raise a home's value by 3%1. Accuracy matters for the same reason: a rating households do not trust gives them little basis for deciding what work is worth doing. The EPC Regulations and the Reform of Energy Performance Certificates guide covers the current rules, and what an EPC measures explains the existing certificate.
What happens next
The Government has not published its response to the consultation, and no date for that response has been reported1. Energy UK wants the reforms brought forward swiftly and wants the question of assessor training taken forward as part of the Government's response1. The proposed private rented sector minimum standard of EPC C by 2030 is set out in a separate consultation1.
Sources1 cited
- How EPC reform can help drive home decarbonisation - Energy UK, energy-uk.org.uk