The proposed new minimum EPC rating for letting in Scotland

We asked Graeme from Shepherd Chartered Surveyors to update our landlord and investor clients on the the new proposed minimum EPC rating for let property.

 17/12/2018  |  Graeme Haywood

Above: pic of Graeme Haywood

Energy Performance Certificates – Important Facts

EPCs were first introduced for all new lets back in January 2009 and, those carried out that year, will be approaching the end of their 10 year lifespan. Should there be a change in tenancy for that property, then an up to date EPC will be needed.

New minimum EPC rating levels

As well as the first raft of EPCs now nearing the end of their ten year life, England & Wales are adopting a minimum EPC rating of E for new lets as of 1st April 2018. It is proposed that Scotland follows suit in April 2019.

While this has yet to be adopted by the Scottish Government it is understood to be more than likely, and it means that all let property with an EPC rating of F or G will need to be brought up to standard. Again this will be for all new leases started after this date.

It has also been proposed that this minimum level be increased to D in 2022, within the 10 year lifespan of the certificate.

Holiday Lets

Holiday Lets are no longer all exempt from EPCs. An EPC is required whenever a property is rented out unless the intention is to use the building for less than four months per year. This includes where a property is rented for holiday accommodation. If the property is subject to a rental agreement – that is, someone is paying for exclusive use of the property – then this rule will apply.

Please note: a period of four months may be a combination of individual bookings, whether for days, weeks or months. If the total is equal to, or more than one third of the year, then an EPC will be needed.

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Written by Graeme Haywood, MA(Hons) MRICS, Associate Surveyor at Shepherd Chartered Surveyors

Get in touch on 0131 225 1234 or email g.haywood@shepherd.co.uk

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