MEES Cost Cap set at £3,500
The Ministry for Housing, Communities and Local Government (MHCLG) and the Department for Business, Energy & Industrial Strategy have amended regulations requiring landlords to install energy efficiency measures, in order to ensure a minimum E energy efficiency rating.
As the majority of properties are already compliant, most landlords will be unaffected by the changes. As outlined in the guidance, the average cost to improve an F or G rated property to a band E is estimated to be around £1,200, considerably below the upper ceiling being brought forward under new regulations.
According to the Government press release, some examples of measures include: installing floor insulation, low energy lighting or increasing loft insulation. If upgrades will cost more than £3,500, landlords will be able to register for an exemption.
These measures will come into force in 2019 and are estimated to affect around 200,000 landlords, some of whom will have access to funding schemes. This includes support from the Energy Company Obligation scheme and local grants to bring their properties up to the required standard.
The measures mean:
- Landlords will be required to install energy efficiency measures in homes with the lowest energy performance ratings
- Upgrades expected to save tenants an average of £180 a year on their bills
- Part of the government’s commitment to eradicating fuel poverty and reduce carbon emissions
Speaking on the announcement, Housing Minister Heather Wheeler MP said:
“I strongly welcome these new measures, which will help improve the coldest homes, protecting tenants whilst also saving them money.
“This builds on our on-going work to crack down on the small minority of rogue landlords and drive up standards in the Private Rented Sector, including through our reviews of health and safety standards and carbon monoxide alarm requirements in the home.