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Sara Grey, Lettings Manager

Energy efficiency has been firmly back in the spotlight this month, with the Government confirming new minimum standards for rental properties across England and Wales.

On 21 January 2026, it was confirmed that all privately rented homes must reach an EPC rating of C by 1 October 2030, unless a valid exemption applies. While the deadline may feel distant, the detail behind the announcement makes it clear that landlords should start planning now.

This article breaks down what we know so far - and what Surrey landlords should be thinking about next.

What’s Been Confirmed

Under the updated proposals:
  • All rented homes must achieve EPC C by 1 October 2030 The requirement applies to all tenancies, not just new lets
  • A £10,000 cost cap will apply to required improvements
  • Exemptions will still exist, but they must be formally registered
This confirmation forms part of the Government’s wider Warm Homes Plan, supported by several lengthy policy documents and consultation responses published alongside it.

Why This Is More Than Just a Deadline

Change Although many headlines have focused on the delay to 2030 and the £10,000 cap, there is far more to this reform than a simple date shift.

Crucially, the way EPCs are calculated is set to change.

The Government has launched a further consultation - closing on 18 March 2026 - on a new assessment system known as the Home Energy Model (HEM).  This will replace the current EPC methodology and introduce new metrics for measuring energy efficiency. That means:
  • EPCs issued under the current system will not last forever
  • EPCs produced before 2029 are likely to expire under the new framework
  • Landlords may need new EPC assessments even if their current certificate looks acceptable today

Transition Arrangements:

What Happens to Existing EPCs?
  • Under the current proposals: Existing EPCs will remain valid until they expire
  • However, once expired, new EPCs will be issued using the updated HEM metrics
  • Properties that currently score well may perform differently under the new model
This creates a clear risk for landlords who delay action until the end of the decade.

What Will Landlords Need to Do?

While final details are still being confirmed, landlords should expect to focus on: Improving heating systems and controls
  • Upgrading insulation where feasible
  • Addressing draughts and thermal inefficiencies
  • Considering renewable or low-carbon technologies where appropriate
Importantly, not every property will require a full overhaul. Many improvements can be phased sensibly over time to spread costs and disruption.

Why Early Planning Matters for Surrey Landlords

In Surrey, where many rental properties are older, character homes, early planning is particularly important. Waiting until the late 2020s could mean:
  • Limited contractor availability
  • Rising costs due to increased demand
  • Pressure to complete upgrades quickly to remain compliant
Landlords who act early can:
  • Spread improvement costs over several years
  • Plan works around void periods
  • Avoid last-minute compliance issues

How Wills & Smerdon Can Help

At Wills & Smerdon, we help landlords look ahead - not just react to deadlines. We can:
  • Review your current EPC and expiry date
  • Discuss practical improvement options
  • Help you plan a phased approach to upgrades
  • Ensure your property remains compliant and lettable

If you’re unsure where your property stands, or what steps make sense for you, our lettings team is always happy to advise.