News Article

Landlords Are Facing A “Ticking Time Bomb”


Landlords are facing a “ticking time bomb”

As of the 1st of April this year new legislation has led to energy efficiency impacting on a landlords ability to rent out a property.

From April 1st 2018 it will be law that every property set to be rented out must have an EPC rating of at least E. This applies to tenancies being renewed as well as new tenancies, so landlords not only risk not being able to rent out a property but losing current tenants if the property doesn’t have an EPC rating of at least E.

If a landlord has a long term lease or their tenants are on a month by month rolling agreement, they do have slightly longer but they will have to meet the requirements. However this must still be done by April 2020 for domestic properties and 2023 for non-domestic properties.

There are however a few expectations which may mean some landlords may escape having to do the required works.

  • Firstly properties where the works would fail the “payback test”. Whereby the cost of undertaking the improvements exceeds the savings in energy over the following seven years.
  • There is also an exemption if making the improvements leads to the market value of the property decreasing by 5% or more.
  • Listed buildings also have a degree of protection for the new legislation if the works unacceptably alter the character or the appearance of a property. If the property is however left unblemished aesthetically it must comply with new EPC standards.
  • The landlord is also not required to make the changes if the tenant does not want them to take place, however would have to then carry them out prior to re-letting a property.

The “Ticking Time Bomb”

According to the Financial Times, property experts are warning that many landlords are still unaware of the need to improve the energy efficiency of their building.

They quote a director of the Royal Institution of Chartered Surveyors, Gary Strong as saying ‘It’s a ticking time bomb. Buy-to-let landlords are commonly the ones who are less aware, because they don’t receive professional communications about it. A lot of landlords who own these properties are in for a bit of a shock.’

This was supported by the head of the NLA (National Landlords Association) who believes that there are many people who won’t be aware of where to find the information and it will have ‘dropped off peoples radars’ for many landlords.

The full FT article can be found here:

How Isothane’s products can help you achieve better energy efficiency

The Energy Saving Trust estimates that 25% of a homes heat loss is through the roof, 35% is through the walls and 25% is through air leakage or draughts so cavity wall insulation and loft/roof insulation are two of the most effective energy efficiency measures anyone can install.

Here at Isothane our polyurethane foam insulation products offer market leading thermal insulation as well as eliminating air leakage. They do this by forming an air tight layer of insulation in either the cavity or the roof.

We have different products depending on where you are looking to insulate. Firstly we have our spray foam insulation product Duratherm® which can be sprayed into roofs or lofts of new build or retrofit projects. Duratherm® is KIWA and LABC approved and suitable for installation in a variety of properties and can also be used to offer stabilisation. Duratherm® not only provides excellent insulation as well as eliminating air leakage but also can be installed quicker than traditional means of insulation, saving time and minimising disturbance.

We also have our injected foam cavity wall solution Technitherm® which is KIWA and LABC approved and offers excellent thermal insulation. Technitherm® is the only product to pass both the BRE (British Research Establishment) Flood Resilience Test and to meet their requirements for use in walls with defective or missing damp proof courses. Technitherm® is perfect for improving a properties energy efficiency as it is installed to a property externally so would cause minimum disturbance and offers great results.

Want More Information?

For more information about our spray foam insulation product Duratherm®, or injected foam Technitherm® can help improve your properties energy efficiency please contact our technical team here for more information.







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