2030 EPC deadline could trigger a new wave of landlord sales, warns LandlordBuyer
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Landlords in England and Wales are being urged to start planning for new energy efficiency rules, as the 2030 EPC deadline forces them to decide whether to upgrade lower-rated rental properties or sell them.
The Government has confirmed that it will raise Minimum Energy Efficiency Standards for privately rented homes in England and Wales. By 1 October 2030, all tenancies will need to meet the equivalent of an EPC C rating under new EPC metrics, unless an exemption applies. Government guidance says the aim is to make rental homes more energy efficient, cut energy bills and help more households out of fuel poverty.
Landlords could have to spend up to £10,000 per property on qualifying improvements. If a landlord has spent up to that cap and the property still can't reach the required standard, they may be able to register a 10-year exemption. Government impact assessments estimate that, taking the cap into account, the average spend per property will be around £5,400.
For landlords with several lower-rated properties, those costs could add up quickly and affect decisions about which properties are still worth keeping as long-term investments. LandlordBuyer says the cost of upgrading older rental homes may lead some landlords to review whether to keep or sell parts of their portfolios.
Jason Harris-Cohen, Managing Director of LandlordBuyer, said: "2030 might still sound a long way away, but landlords with older or lower-rated properties should be thinking about their options now. For some, investing in improvements will make complete financial sense. For others, particularly where substantial work is required, selling could become the more attractive option."
The EPC changes also come during a period of major regulatory change in England's private rented sector. The Renters' Rights Act 2025 came into force for most private tenancies on 1 May 2026, ending Section 21 "no-fault" evictions and moving most existing assured shorthold tenancies onto assured periodic tenancies.
LandlordBuyer believes that this regulatory change, combined with possible capital spending, makes portfolio planning more important than before. It also points out that landlords thinking about selling don't necessarily have to wait until their property is empty.
Harris-Cohen added: "Every property should be assessed on its own merits. Landlords need to understand the current EPC rating, the potential cost of improvements and the long-term return the property is generating.
"Doing that analysis early gives landlords much more time to decide whether upgrading, holding or selling is the right option before the 2030 deadline arrives."
With just over four years until the new standards take effect, 2026 and 2027 could be important planning years for landlords deciding the future of their portfolios.
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