With the Renters Rights Act deadline on 1 May looming, another major change is coming into view: minimum energy efficiency standards (MEES) for rental homes.
About 2.9 million rented homes in the UK are below EPC C. From now to the deadline, 1500 homes a day need upgrades. At the same time, the government’s goal is to retrofit 5 million homes by 2030.
You can’t magic up installers
Retrofit needs skilled people: assessors, insulation teams, heating engineers. You can’t hire thousands for a few months.
If most landlords wait until the last minute:
- Lead times will jump.
- Prices will rise.
- Some work simply won’t get done in time.
It makes sense to sort it now, not fight everyone later.
EPC rules may tighten
The EPC method is under review and two things could happen:
- Standards become tougher, especially on insulation and heating.
- Some current EPC C homes could be re‑rated down to D.
Doing the work now lets you lock in compliance under today’s rules instead of chasing a moving target.
Policy and market shift
Even before MEES is finalised in Parliament, the direction is clear:
- The law is tightening around poor-quality, inefficient homes.
- Lenders are already showing more interest in efficient properties.
- Evidence is building for “green premiums” and “brown discounts” in value.
Waiting for certainty risks leaving you with a less attractive, harder‑to‑finance asset.
When waiting can make sense
There are cases where holding off is reasonable – mainly where grants or finance deals might help. If your tenants are on low incomes or benefits, local or national schemes may help pay for upgrades. Some areas, such as Greater Manchester, already have funds in place.
Green lending
More “green” mortgage products are coming to market. Some offer:
- Better rates for energy improvements.
- Extra borrowing for retrofit work.
- Free or discounted home assessments.
For big, costly projects that need borrowing, you might:
- Work out the scope and cost now.
- Time the spend to coincide with a suitable product later.
For smaller jobs, though, the risk of higher costs and no trades usually outweighs any gain from waiting for a slightly better rate.
What lenders, agents and brokers should do now
The system only copes if we spread the work over several years. That means nudging landlords to move early, not all at once.
- Explain the stakes
Don’t wait for landlords to come to you in a panic. Set out the scale of MEES and likely timings and spell out the risks of delay: higher costs, fewer installers, possible EPC downgrades.
Encourage them to get EPCs and retrofit plans in place now and design incentives that change behaviour:
- Time‑limit the best deals so early movers benefit most.
- Offer free or subsidised assessments for a fixed window.
- Aim early incentives at landlords with larger portfolios or bigger works.
The goal is simple: pull the heavy jobs forward.
Brokers worry about liability if they suggest remortgaging now for works that aren’t legally mandated yet. The safest stance:
- Explain upcoming rules and options and help clients arrange finance once they decide what to do.
- Treat retrofit like any other major renovation: the client chooses the project; you help fund it.
Sub‑C homes and future value
Some homes won’t reach EPC C even after spending up to any cost cap (say £10,000). They can still be compliant if they hold a valid high‑cost exemption. But that doesn’t make the value question disappear.
Likely trends:
- As millions of homes improve, inefficient homes become the exception.
- Lenders and buyers will pay more attention to EPCs.
- Over time, expect better prices and lending terms for efficient stock, and a drag on poorer‑performing homes.
Will there be a 2028 “fire sale”?
There could be more sales of EPC D and E properties, but talk of a huge fire sale is probably many overblown.
Many landlords will exit anyway because of:
- MEES
- The Renters Rights Act
- Awaab’s Law and other new rules
- General cost and hassle
Some inefficient homes will be sold. But many will be improved or bought by portfolio landlords and companies who see a chance to retrofit and add value.
From an initial estimate of ~880,000 at‑risk properties, a more realistic figure for those sold mainly because of MEES might be 200,000–400,000. Noticeable, but not the end of the market.
The bottom line
MEES is a big, time‑bound retrofit job, not a form to fill in. Delaying is risky if you need real building work done.
Grants and green finance can help, but they work best when you already know your property’s needs.
Lenders, brokers and agents can shape the outcome by informing early and rewarding early action.
If you hold or lend against a lot of EPC D–G stock, the safest move is to start planning upgrades now, not in the final rush.
You can watch the full webinar below:
