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August 22, 2011 , by S. Pascoe

All rental properties to achieve an E rating within five years

The Government has announced that any properties with an Energy Performance Certificate (EPC) rating lower than an E will become ineligible for the rental market in five years time.

EPCs are measured on a scale from A to G, with A being the best. It is understood that approximately 682,000 rental properties will fall in the lower bands and as a consequence will need to be improved.

The EPC must be completed by an accredited energy assessor and is made up of two parts: the first part is the rating; the second part is recommendations for improvement. These recommendations should form the basis of the improvement plan for the building.

From next year the Green Deal will allow property owners to access finance to pay in advance for improvements. This capital is then paid back through fuel bills over the next 25 years. Landlords need to be aware of the implications of having a poorly performing building and have plans in place to take advantage of the Green Deal when it goes live before they get caught out.

There is also a call being made for all commercial premises to have on show a Display Energy Certificate (DEC) to advise building users and occupiers how the building is preforming.

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