The energy performance certificate (EPC) improvement loan is available to existing customers, and serves as a top up to existing loans. It is available at fixed sums of £6,500 for properties with an EPC rating of D and £13,000 for those with a rating of E.
The government is introducing new rules which will mean that from 2025 only properties with a minimum of a C rating can be let to new tenants. This will then be extended to 2028 for all existing tenancies.
Those new rules are pushing many landlords to investigate the energy efficiency of their portfolios, and to carry out renovations to improve the EPC ratings, though there have been suggestions that they will push smaller and accidental landlords out of the market.
Andy Clutterbuck, regional head (Midlands and South) at Secure Trust Bank, said there has been talk around the need to improve the energy efficiency of our homes for some time.
He continued: “Given the energy and cost-of-living crisis, this has only served to ramp up the noise and push the government to act. The consensus across the lettings market is that stricter rules may well come into force from January 2025.
“Landlords need to start thinking about how they can get ahead now. That’s why we’ve launched this EPC improvement loan to help our customers with properties rated D or lower, so they can seal a loan now and start remedial works as soon as possible.”
