Reforms to the Energy Performance of Buildings regime

Partial response We have published a a partial response to the Reforms to the Energy Performance of Buildings regime consultation. It confirms plans to introduce four new headline metrics on new-style domestic EPCs, the retention of the existing headline metric on non-domestic EPCs, and updates on buildings where EPCs will be required following reform, subject to parliamentary approvals. A further response covering the remaining parts of the consultation will be published in 2026. Government is committed to reforming the Energy Performance of Buildings regime to provide a system which: provides homeowners and tenants with accurate information about the energy performance of their homes to allow them to make informed investment and purchase decisions provides accurate information to determine eligibility for schemes and measure progress against government targets provides an information tool to support a range of actions including reducing carbon emissions, tackling fuel poverty, improving decency and the Warm Homes Plan reflects the needs of wider users of EPCs beyond homeowners and tenants, such as suppliers of energy efficiency products and services, as well as lenders To achieve this, the consultation includes proposed reforms to enhance the regime in 5 critical areas: updating what EPCs measure through additional metrics updating when energy certificates are required by refining the rules for obtaining EPCs and DECs managing energy certificate quality improving the accessibility of building performance data strengthening the quality of air conditioning inspection reports Reforms to the Energy Performance of Buildings regime HTML Technical annex for chapter 2: What EPCs measure HTML Impact assessment PDF , 1.34 MB , 43 pages 2024 Reforms to the Energy Performance of Buildings Regime Consultation Stage Impact Assessment 2 Title: Reforms to the Energy Performance of Buildings Regime IA No: RPC Reference No: n/a Lead department or agency: Ministry of Housing, Communities and Local Government Other departments or agencies: None Impact Assessment (IA) Date: 04/12/2024 Stage: Consultation Source of intervention: Domestic Type of measure: Secondary legislation Contact for enquiries: EnergyPerformanceOfBuildingsRegulati ons@communities.gov.uk Summary: Intervention and Options RPC Opinion: RPC Opinion Status Cost of Preferred (or more likely) Option (in 2024 prices, 2026 present value) Total Net Present Social Value Business Net Present Value Net Cost to business per year -£46m -£81m £9.4m What is the problem under consideration? Why is government action or intervention necessary? The Energy Performance of Buildings (EPB) Framework was introduced in phases from 2007, to support carbon reduction in existing homes and buildings by encouraging take-up of energy efficiency measures. Since then, the key elements of the framework – notably Energy Performance Certificates (EPCs) – have become a tool in several different policy areas, such as fuel poverty, net zero and housing quality. However, the Framework itself has not changed to reflect these greater uses, or to reflect wider policy changes such as a different landscape on net zero and energy. As such, the Framework is in need of reform – as recommended by the Climate Change Committee and other key stakeholders. What are the policy objectives of the action or intervention and the intended effects? The intended outcome of the intervention is, overall, a more efficient Energy Performance of Buildings Framework. We want the Framework to enable easier and more informed consumer decision making, create more accurate, reliable and trusted energy certificates, and allow for better and more open access to data. The desired effects are: consumers having more information to enable them to make a decision based on what is important to them; to make energy certificates a more trusted and reliable source of information, in turn leading to more action being taken on their recommendations; and providing better data to individuals and stakeholders in order to improve the Framework for all. Indicators of success will be positive feedback to the consultation, feedback from key stakeholders including industry and consumer advocacy groups, and a smooth implementation of a new Framework. What policy options have been considered, including any alternatives to regulation? Please justify preferred option (further details in Evidence Base) Do nothing: the Framework would continue to operate in an inefficient way. Property owners and landlords would still be required to obtain an EPC in certain circumstances under the existing legislation, but these EPCs would not improve in quality, and the policies that use EPCs will not be able to benefit from improved metrics and the more robust regulatory framework. Non regulatory options would have little change as the energy certificates are part of an existing regulatory framework. We have already exhausted non regulatory options for change and impro

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