Four in ten homeowners stalling energy efficiency upgrades over EPC confusion

Over two-fifths (43%) of homeowners are delaying or considering delaying home improvements. 

Uncertainty around home energy efficiency and the potential benefits of upgrades is causing many homeowners to put improvement plans on hold. One in five respondents (20%) said they have already delayed making home energy improvements, while a further 23% said they are considering postponing upgrades.

Aside from price, the findings suggest that confusion around energy efficiency ratings and home performance could be discouraging homeowners from investing in upgrades such as insulation and renewable energy installations. This hesitation could slow progress in improving the energy efficiency of UK homes, which could not only help to reduce bills at a time when many households have already been hit with rising rates, but also support long-term goals of lowering carbon emissions.

Brits are confused over what actually affects an EPC rating

Currently, Brits are incorrectly identifying elements that are not part of the assessment criteria. More than a third of respondents (36%) mistakenly believed that energy costs are factored into an EPC rating, even though they are not part of the calculation.

Under current guidelines, an EPC rating is based on how much energy your property uses per square metre (e.g. for heating and light) and how much energy it loses (e.g. through poor insulation). The assessor will first calculate the property’s Standard Assessment Procedure (SAP) score and then use that to determine the EPC rating.

While some respondents correctly identified factors such as insulation quality (56%), heating system efficiency (49%), and renewable energy installations like heat pumps and solar panels (37%), a third incorrectly identified factors such as energy costs (36%) as part of the rating system. The number of bedrooms was also thought to impact EPC ratings by 16% of the respondents.

Nearly half of Brits (46%) don’t fully understand how an EPC rating affects energy bills

While just over half (53%) of respondents said EPC ratings have at least some impact on household energy costs, a fifth (21%) believed they have little or no effect on bills, despite a higher rating meaning better energy efficiency and lower household bills. A further 25% said they were unsure how much influence EPC ratings actually have.

The relationship between home energy efficiency and energy bills still leads to confusion for many, despite EPC ratings being designed to indicate how expensive a property is likely to be to heat and power.

Ben Gallizzi, energy comparison expert at Uswitch, comments:

“Delaying upgrades such as insulation, heating improvements, or renewable energy installations can leave households locked into higher energy consumption and unnecessarily expensive bills at a time when many families are already feeling the pressure of rising living costs.

“Investing in energy efficiency measures not only helps reduce monthly energy bills, but can make homes warmer in winter and cooler in summer. 

“Improvements such as better insulation, modern heating systems and renewable technologies can increase a property’s long-term value and help homeowners prepare for future changes in energy prices and efficiency regulations.

“Taking action sooner rather than later allows households to start benefiting from lower energy costs immediately while also making their homes more resilient and cost-effective for years to come.”