In his latest speech from Downing Street, the prime minister has outlined a "sensible, green leadership." approach to the UK's net zero target to avoid "unacceptable costs on hard-pressed British families.".
Rishi Sunak is "unequivocal" that with these new plans in place, the UK will still reach all our Net Zero targets without having to " impose…unnecessary and heavy-handed measures."
Here's what the new changes mean for UK homeowners and landlords.
Energy Performance Certificate (EPC) rating of 'C' by 2025
Sunak has scrapped the previous deadline for rented properties in the UK to meet a minimum EPC rating of C by 2025.
He states that whilst "Energy efficiency is critical to making our homes cheaper to heat." he has concerns that "under current plans, some property owners would've been forced to make expensive upgrades in just two years' time."
The former proposed energy targets would have directly impacted landlords already feeling the pinch from the cost-of-living crisis and, no doubt, left UK tenants facing higher rental prices as landlords struggled to cover the costs.
So the plans have been dropped, and he's confirmed: "While we continue to subsidise energy efficiency - we will never force any household to do it."
For more information on landlord obligations on Energy Performance Certificates, read: What is an EPC and when do you need one?
Gas Boiler Ban 2035
The government's plans to phase out all gas boilers by 2035 by replacing household boilers with a more energy-efficient heating system like hydrogen boilers have also changed.
Sunak has recognised that "we need a fairer, better approach to decarbonising how we heat our homes."
He has announced a 50% increase in the Boiler Upgrade Scheme, which gives people cash grants to replace their boiler; the funding has now increased to £7500.
The phase-out plan for off-grid homes has also been pushed back by 9 years, whilst the government plans to make heat pumps "cheaper, more effective and more attractive". And will be giving homeowners "far more time to make the necessary transition to heat pumps."
He has explicitly stated that the government will never force people to make the heavy-handed financial transition to an energy-efficient heating system: "You'll only ever have to make the switch when you're replacing your boiler anyway, and even then, not until 2035."
For more information on what the Gas Boiler Ban could mean for you, read: What does the gas boiler ban mean for me and my home?
- The requirement for landlords to reach an energy performance rating of C or higher from 2025 has been scrapped.
- The 2035 ban on gas boilers being sold is still in place, but there are plans to introduce an exemption that will protect low-income households.
- The Boiler Upgrade Scheme grant has been raised 50% to £7500 to help cover the cost for households that upgrade their gas boilers to more energy-efficient heating systems.
- The phase-out plan for off-grid homes has been pushed back by 9 years.
Whilst you're here, why not read "The Renters Reform Bill, How Will It Affect You?" or "Your Full Landlord Checklist of Deductible Expenses."