Energy efficiency / EPC update

Following a public consultation in 2023, the Scottish Government has announced reforms it will make to EPCs to improve their quality and better align them to net zero policy objectives. The government intends to introduce new EPC regulations in the Scottish Parliament during 2025 and to bring them into force in 2026. These reforms include:

• adoption of a new EPC rating system for domestic buildings, which will give clearer information on the fabric energy efficiency of a property; the emissions, efficiency and running costs of its heating system; and the cost of energy to run the home to standardised conditions;
• adoption of a redesigned EPC certificate, based on a first phase of user testing and to be followed by a second phase, prior to regulations coming into force;
• reduction of the validity period of EPCs from 10 to five years to ensure consumers have more up-to-date information;
• development of a new dynamic EPC user interface to sit alongside the published EPC;
• introduction of strengthened operational governance arrangements for EPC assessors and Approved Organisations to enhance quality assurance for consumers.

The majority of these reforms are welcome. However, SAL is disappointed that the EPC validity will be reduced through these reforms from 10 to five years, despite only 29% of respondents to the 2023 consultation agreeing with this proposal.

The government still intends to introduce another piece of legislation this year; a Heat in Buildings Bill, which is expected to introduce the following requirements:

1. a requirement for private rented sector properties to meet a minimum energy efficiency standard by 2028 (owner occupied properties will need to meet the same standard by 2033);
2. a requirement for properties in all tenures to have ended their use of polluting heating by 2045.

For further information on these proposals click here. The SAL advice team is regularly asked about whether properties have to meet a minimum EPC standard to be rented out to tenants at present. The answer is that they do not; properties can be let out with any EPC rating. The Heat in Buildings Bill discussed above will introduce minimum standards in the future. The advice team is also being asked when properties must end their use of gas boilers. As explained above this is expected to be by 2045.

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