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Campaigners are urging the government to strengthen EPC rules for rental properties by allowing tenants to claim rent refunds when homes fail to meet minimum energy efficiency standards.
The proposals come from Generation Rent, which has published a new report backed by funding from the European Climate Foundation.
Rent Refunds for Failing EPC Standards
At the centre of the report is a call to link energy performance failures directly to tenant compensation.
Generation Rent argues that renters should be able to apply for a Rent Repayment Order if their home does not meet a minimum Energy Performance Certificate rating of C by 2030, unless the property is officially exempt.
The group says this would:
- Give tenants stronger rights under EPC rules for rental properties
- Encourage landlord compliance
- Reduce pressure on already stretched local authority enforcement teams
Currently, tenants have limited routes to reclaim rent when landlords fail to meet regulatory standards, and enforcement largely relies on councils.
Cold Homes and Rising Energy Costs
The campaign highlights ongoing concerns about housing conditions in the private rented sector. According to housing and energy data from organisations such as Citizens Advice and National Energy Action, renters are disproportionately affected by poor insulation and high energy bills.
Generation Rent claims many tenants in England and Wales are living in:
- Cold and poorly insulated homes
- Damp or mouldy conditions
- Properties with high energy costs
Private renters are also among the groups most likely to experience fuel poverty, with a significant proportion struggling to afford their energy bills on a regular basis.
Balancing Net Zero and Affordability
Ben Twomey, Chief Executive of Generation Rent, says improving EPC rules for rental properties is about more than compliance — it sits at the crossroads of climate policy and social fairness.
He explains that critics of net zero policies often argue that energy upgrades will lead to higher rents, particularly in the private rented sector. Landlord groups have also warned that retrofit costs could be passed on to tenants.
However, Twomey argues that stronger protections could prevent this:
“Improving the energy efficiency of private rented homes therefore sits at the intersection of social justice and climate change.”
He adds that without safeguards, tenants risk facing both rising rents and ongoing poor living conditions. But with the right policies in place, renters could benefit from:
- Warmer homes
- Lower energy bills
- Greater security
What This Means for Landlords and Tenants
Proposed changes to EPC rules for rental properties are expected to play a key role in the government’s wider housing reforms, alongside measures in the anticipated Renters’ Rights Bill.
If adopted, these proposals could significantly reshape the private rented sector by:
- Increasing accountability for landlords
- Strengthening tenant rights
- Accelerating progress towards net zero housing targets
For landlords, this may mean investing in property upgrades sooner rather than later. For tenants, it could offer greater protection against substandard housing and rising energy costs.
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