EPC Changes from 2028: What London Landlords Need to Know and How The Eco Advisory Bureau Can Help
- Charles Morley
- Oct 3
- 4 min read
The UK rental market is preparing for significant change. From 2028, landlords will face tougher minimum energy efficiency standards designed to support the country’s net zero commitments and reduce fuel poverty. These new requirements will reshape how rental properties are managed and upgraded. Where properties are often older and subject to planning restrictions, the challenge will be especially demanding. At The Eco Advisory Bureau we help landlords understand these changes, plan effectively and reduce the risks of non compliance.
The Current Rules
At present, landlords must meet the Minimum Energy Efficiency Standard, which requires that any rental property has an Energy Performance Certificate (EPC) rating of at least E. A valid EPC must be available whenever a property is marketed or a new tenancy is signed. Properties rated F or G cannot be legally rented out unless improvements are made or an exemption is registered. The cost threshold for improvements under the current system is £3,500 including VAT, meaning landlords are not expected to spend more than this amount on upgrades.
EPC Changes and The Reforms from 2028
The government intends to raise the minimum EPC requirement to a rating of C. From 2028, all new tenancies including new lets, renewals and extensions will need to achieve this standard. By 2030, the requirement will extend to all rental properties, even those with existing tenants.
In addition, the EPC system itself is due to change in 2026. At present, certificates are based largely on estimated running costs such as heating, lighting and hot water. Under the new regime, assessments will be based on building performance, looking closely at fabric efficiency, heating system emissions and the readiness of a property to integrate smart technologies. This represents a fundamental shift in how properties are judged and will likely make compliance more demanding.
Penalties for non compliance are also expected to rise significantly, with fines of up to £30,000 per property for serious breaches.
Costs and Exemptions
The cost of achieving EPC C will vary widely depending on the property. Government analysis suggests that average costs may fall between £6,100 and £6,800 per property. However, landlords may face higher figures due to older housing stock and planning restrictions.
The proposed cost cap for mandated improvements is £15,000 including VAT. Where the cost of reaching EPC C is higher than this, landlords would be able to register an exemption. Exemptions are also available where all reasonable improvements have already been made or where certain upgrades are not technically possible. These exemptions are usually valid for a ten year period.
The CITY Challenge
Towns and cities are a particularly complex housing market. Many properties are Victorian or Edwardian and were built without modern insulation. Flats within conversions or blocks often have limited scope for improvement without cooperation from freeholders or neighbours. Conservation areas and listed building status can make common measures such as external wall insulation or solar panels much more difficult.
Upgrading properties in the capital is also more expensive due to higher labour and material costs. As the deadline approaches, demand for qualified contractors is expected to rise steeply. Delaying action could therefore increase both costs and disruption.
How The Eco Advisory Bureau Can Help
The Eco Advisory Bureau provides expert support to landlords as they navigate these changes. We start with a clear assessment of your property portfolio to identify risk areas and prioritise improvements. We create tailored compliance roadmaps that outline the most cost effective path to achieving EPC C while safeguarding long term asset value.
Our team advises on retrofit solutions ranging from insulation and glazing upgrades to efficient heating systems and renewable energy technologies. We also help landlords access available funding streams such as ECO4, the Boiler Upgrade Scheme, local authority support and reduced VAT incentives for insulation.
In cases where compliance is not possible, we guide landlords through the exemption registration process to ensure full legal protection. For properties that fall under planning restrictions or heritage status, we assist with tenant communications and planning applications to minimise disruption.
Key Dates to Remember
In 2026 the government is expected to launch the new EPC regime. Existing EPCs will begin to phase out as certificates expire. From 2028, all new tenancies will need a rating of C. By 2030, every rented property must comply regardless of when the tenancy began.
Why Early Action Matters
Acting early can save money and reduce risk. Upgrading properties now spreads the cost over several years and helps landlords take advantage of grants and tax incentives that may not be available closer to the deadline. It also avoids the last minute rush for contractors and ensures properties remain attractive to tenants who increasingly value energy efficiency and lower utility bills.
The EPC reforms represent a decisive shift in the rental sector. They will require significant investment, planning and foresight, particularly for landlords in urban areas. By working with The Eco Advisory Bureau, landlords can prepare with confidence, reduce compliance costs and protect the long term value of their property portfolios.
Contact The Eco Advisory Bureau today to discuss how we can help you get ready for 2028 and beyond.