LANDLORDS

When is an Energy Performance Certificate (EPC) required:

For all new lettings from the 1st October 2008 landlords are responsible for ensuring that a valid Energy Performance Certificate (EPC) is made available to all prospective tenants.

There is no need to obtain a Energy Performance Certificate for an existing tenancy and once an EPC has been obtained it remains valid for up to 10 years so if a valid EPC exists whenever there is a change of tenant no new certificate is required.

Landlords are only required to give a copy of the EPC to new tenants, they are not obliged to carry out any of the recommendations contained within the EPC although any measures that would improve the property’s energy efficiency and environmental impact rating are highlighted.

Easier2move can arrange individual or multiple EPCs on behalf of private landlords and letting agents throughout the UK for a very competitive fixed fee.

Benefits of obtaining Energy Performance Certificates from Easier2move:

• Volume discounts available for landlords who want to get their whole portfolio  compliant in one go - quotations on request; call 0845 4600 400
• Quick and easy instruction process to suit you - we accept instructions by telephone, email or online (Online instructions available from 1st October)
• We call the tenant to arrange a suitable time to carry out the EPC
• We collect payment from the landlord direct
• We let you know when the EPC is booked in and keep you fully informed
• We email you with the EPC graphs as soon as the EPC has been completed
• We offer 2D and 3D floor Plans
• We can project manage all of your required EPC’s for lettings from instruction through to delivery and will always use a professionally qualified and vetted Domestic Energy Assessor (DEA).

Procedure:

When an Energy Performance Certificate is required the EPC and recommendation report must be made available free of charge by the landlord to a prospective tenant at the earliest opportunity and no later than:

• when any written information about the building is provided in response to a request for information received from the prospective tenant, or
• when a viewing is conducted, or
• if neither of these occur before entering into a contract to let.

An Energy Performance Certificate does not have to be made available if:

• the seller believes that the prospective buyer or tenant is unlikely to have sufficient funds to rent the property, or
• is not genuinely interested in buying or renting that type of property, or
• The landlord is unlikely to be prepared to rent out the property to the prospective tenant (although this does not authorise unlawful discrimination)

However, there are some slightly more unusual circumstances where it might be more difficult to tell whether an Energy Performance Certificate is required so the following examples have been supplied by the Department of Communities and Local Government (DCLG).

Case study 1

A house or flat is rented by a number of tenants who have exclusive use of their bedrooms but share a kitchen and bathroom. In this case each tenant has a contract with the landlord for the parts they have access to, but not for a whole dwelling. An EPC is therefore not required each time a tenant moves, although one will be required for the whole house if it is sold, rented as a whole or constructed.

Case study 2

A group of friends rent a property and there is a single contract between the landlord and the group as the contract is for the rental of a whole dwelling. An EPC is required for the whole dwelling. In this case, a dwelling is taken to be a domestic building which is either the whole of the building or a part altered or designed for separate use.

Case study 3

Individual tenants rent rooms in a hall of residence. Each room does not constitute a building or part of a building designed to be used independently or separately. An EPC is not required, for each individual room. However, an EPC will be required on the whole building if it sold, rented or constructed. It will also be required on self-contained units within the hall, e.g. a self-contained caretaker's flat, if this is sold, rented or constructed.

Energy Efficiency Allowances:

Within each Energy Performance Certificate there will often be recommendations for energy efficiency improvements that comply with the Landlord Energy Saving Allowance (LESA) scheme. This scheme was first introduced in 2004 and enables Landlords to claim tax allowances for energy efficient improvements.

The Landlord Energy Saving Allowance (LESA) allows private residential landlords who pay income tax to claim a deduction in their income tax bill of up to £1,500 per property for installing energy efficient measures and is available until 2015.

Landlords are currently entitled to claim an allowance for the following:

• loft insulation
• cavity wall insulation
• solid wall insulation
• draught proofing
• hot water system insulation
• floor insulation.

More information can be found at HM Revenue and Customs website pages Landlord Energy Saving Allowance 2004, Landlord Energy Saving Allowance 2006 and Landlord Energy Saving allowance 2007 or by phone on 0845 9000 444.