With less than six months to go until new legislation, E.ON offers simple ways landlords can upgrade their properties

Our research shows there may actually be a double benefit in improving the energy efficiency of a property – tenants benefit from lower energy bills and more comfortable homes while landlords already anticipate their properties will become more desirable and could even command higher rents.
Mike Feely, Energy Efficiency Expert at E.ON
  • From April 2018 landlords will no longer be allowed to let properties1 without minimum energy efficiency rating

  • Two in five landlords believe efficient properties are more desirable to potential tenants

  • Landlords not considering the simple ways they could improve the energy efficiency of their properties

With six months to go until new regulations come into effect outlining minimum standards for energy efficiency in privately rented homes1, research from E.ON reveals landlords see significant benefit in upgrading the energy efficiency of their properties – both in attracting potential tenants and increasing the overall value of their properties2.

The research found two in five (39%) landlords think being seen to have an energy efficient property will make it easier to attract new tenants into the property, while the same proportion think that having an energy efficient property increases its value.

Mike Feely, Energy Efficiency Expert at E.ON, says, “Government housing data already shows the private rented sector has the highest proportion of properties falling in the F and G bands3, so it’s vital landlords look into what they need to do before the regulations come into effect.

“Our research shows there may actually be a double benefit in improving the energy efficiency of a property – tenants benefit from lower energy bills and more comfortable homes while landlords already anticipate their properties will become more desirable and could even command higher rents.”

According to E.ON’s research around one in five landlords (21%) expect to spend between £1,000 and £4,000 on energy efficiency improvements in their property over the next five years, but in reality improving the energy efficiency of a property to meet the new legislation does not need to incur such high costs.

The research highlighted some landlords haven’t considered some of the simpler ways they can look to improve the energy efficiency of their property. Just under half of those questioned (47%) haven’t considered loft insulation in their properties and two thirds (66%) have yet to install cavity wall insulation.

These are all energy efficiency measures that are easy to install and for limited time E.ON is offering free cavity wall and loft insulation to all households regardless of their energy supplier4, which could save a typical household around £2855 a year.

Over half of landlords questioned haven’t considered a boiler upgrade to their property. By replacing an old boiler with a new, highly-efficient condensing boiler, landlords could significantly improve the energy efficiency of their property. E.ON has launched an interest free finance offer to help with the cost of a replacement boiler meaning landlords can now spread the cost of a replacement boiler with an interest free loan and a choice of payment terms of up to four years to suit their personal circumstances6. E.ON Energy Installation Services Limited acts as the credit broker and not the lender7.

For landlords who are worried about the potential costs of upgrading properties, financial support may also be available through the Energy Company Obligation if tenants meet certain qualifying criteria.

The survey found that one in four landlords (25%) did not know about the requirements of the new Minimum Energy Efficiency Standards (MEES) regulations which prevent them renewing existing tenancies or agreeing new lets if it doesn’t meet minimum standards1. Over a quarter (27%) also admit to not knowing the EPC rating of their property.

Even landlords with some awareness of the new requirements have their concerns.

  • Around a quarter say they feel worried about the cost of making their property compliant (28%)

  • Around one in five say they don’t know enough about the implications of the new rules for their property (19%).

  • A quarter believe the new regulations are yet another burden on the landlord (25%). In fact, 14% of landlords surveyed felt that energy efficiency should be solely the tenants’ responsibility. When it comes to improving the energy efficiency of their properties, a concerning 49% of landlords say they don’t feel adequately informed about how to do so.

Mike Feely has provided a number of tips for landlords looking to improve their properties’ EPC ratings:

  • Don’t underestimate the importance of insulation in making a property more energy efficient. If the property was built before or around 1920, it most likely has solid walls. Solid wall insulation can be installed from either the inside or the outside. If the property was built after 1920 it’s likely to have cavity walls. These have a double external wall with a small gap between which can be filled with insulation.

  • Make a play of your energy savings standards – don’t just think of improving energy efficiency as something for meeting regulations, it’s a commercial decision too. Given most tenants are responsible for paying energy bills, some may be willing to pay more for properties that are energy efficient, so make sure you’re making the most of this as a selling point.

  • Without properly insulated windows, the property could be losing up to 10% of its heat. Double glazed windows make a big difference when it comes to lowering energy bills as well as reducing condensation and noise. Instead of double glazing you could install secondary glazing which involves fitting a pane of plastic or glass inside the existing window recess to create an insulating layer of air. Though not as effective as double glazing, secondary glazing still saves a significant amount of energy and allows you to maintain good kerb appeal by keeping original features such as sash windows.

  • EPC ratings look only at permanent improvements to the fabric of the building so think about long-term upgrades that will help to reduce heat and energy use. Simple things – sausage dog draught excluders and the like – will help keep heat in, but for the EPC you need to find permanent ways to fill the gaps to stop heat escaping through windows, doors, letterboxes and even keyholes.

  • For those looking to bring their properties completely up to date, consider renewable technologies such as solar panels with an at-home battery to store electricity for use even when the sun goes down. Be aware these will contribute to your rating only if they’re helping to heat the house, rather than providing electricity for other uses.

E.ON helps customers to have warmer, more energy efficient homes and to help save energy and lower bills. It offers a range of products and services including replacement boilers and insulation. E.ON’s landlord team can be contacted on 0330 400 1122.

E.ON offers a range of services to give landlords and tenants the support they need, from online account management that allows landlords to better control their property portfolios through to a range of great value insulation and heating services to make rented properties more energy efficient.

Private landlords can also access the E.ON Landlord Service which gives access to an exclusive tariff for landlords, giving up to 30 days’ free energy while properties are empty, as well as access to a simple online tool which simplifies the set-up and switch-over of energy accounts for multiple properties, including ensuring meter readings are kept up to date so customers are billed accurately and appropriately.


Notes to editors:

  1. From http://www.legislation.gov.uk/ukdsi/2015/9780111128350/regulation/23

  2. Based on research commissioned by E.ON with 500 residential landlords carried out by OnePoll between 17/03/17 and 23/03/17

  3. English Housing Survey, Headline Report 2015-16

  4. About the offer:

  • Offer subject to applicants agreeing to eligibility check – this information is needed to help manage the scheme and applicants’ data and will not affect whether they are eligible for the measures described in the offer.

  • The scheme is administered by E.ON Energy Installation Services Limited which reserves the right to withdraw this offer at any time.

  • E.ON will provide notice to customers on eoninstall.com if offer is withdrawn or amended.

  • If applicants have a survey booked in during the offer window the offer will be honoured.

  • This offer is available in mainland Great Britain and excludes housing association or council tenants, flats and maisonettes.

  • All applications are subject to a home survey by the appointed installer (or company acting on their behalf).

  • Full Terms and Conditions will be set out in the contract with the appointed installer.

  • Cavity Wall Insulation- Cavity wall insulation will only be installed on properties with unfilled cavity walls. No costs will be incurred unless stipulated at or during home survey/ risk assessment of property. E.ON shall supply a quotation detailing additional costs prior to acceptance and instruction by the contractor prior to commencement of works.

  • Lofts- Loft insulation will only be installed in conjunction with a cavity wall being filled and only where there is either less than or equal to 100mm pre-existing insulation (full loft). Lofts will be insulated to a total thickness of 270mm. Loft insulation will not be undertaken unless there is sufficient ventilation to allow air movement both before and after the work.
  1. Source: http://www.energysavingtrust.org.uk/home-insulation/cavity-wall and http://www.energysavingtrust.org.uk/home-insulation/roof-and-loft. Figures based on semi-detached gas heated home and are based on fuel prices as of April 2017

  2. Credit is subject to application and status and you must be a UK resident aged 18 or over to apply.Terms and conditions apply.Find out more about our finance options at https://eoninstall.com/waystopay/

  3. E.ON Energy Installation Services Limited is regulated and authorised by the Financial Conduct Authority in relation to its credit broking services under firm number 750410 on the financial services register. We act a as a credit broker and not a lender meaning we can introduce you to our chosen finance lender, Barclays Partner Finance who act as the lender. Barclays Partner Finance is a trading name of Clydesdale Financial Services Limited a wholly owned subsidiary of Barclays Bank PLC. Clydesdale Financial Services Limited is authorised and regulated by the Financial Conduct Authority (Financial Services Register number 311753) Registered in England. Registered No 2901725. Registered office: 1 Churchill Place, London. E14 5HP

For more information please contact:

Naomi Troy, 02476 180523, naomi.troy@eon-uk.com

Andrew Barrow, 02476 183677, andrew.barrow@eon-uk.com


The information (including any forecasts or projections) contained in this press release (the "Information") reflects the views and opinions of E.ON on the date of this press release. The Information is intended as a guide only and nothing contained within this press release is to be taken, or relied upon, as advice. E.ON makes no warranties, representations or undertakings about any of the Information (including, without limitation, any as to its quality, accuracy, completeness or fitness for any particular purpose) and E.ON accepts no liability whatsoever for any action or omission taken by you in relation to the Information. Any reliance you place on the Information is solely at your own risk. This press release is the property of E.ON and you may not copy, modify, publish, repost or distribute it. © E.ON 2017