Hello readers,
You may recall that a couple of weeks ago I wrote an article about how the government has made cash grants available to landlords for EPC improvements provided their tenants meet certain conditions.
Grants have now opened for applications, so I thought I’d do a brief follow up blog to tell you about how to access them and a little bit about Medway’s scheme.
Before looking at accessing the grants, here’s a quick summary from my previous blog of funding which is available for properties with an EPC rating of D to G. You can also read more details on the gov.uk website here.
“Landlords will receive funding to cover the cost of upgrading a single property, with a cap ranging from £15,000 to £30,000 based on the type of upgrades. For portfolio landlords, they will be required to cover half the cost for any additional properties.”
Ok, so let’s look at Medway as I have been able to find out how to access the grant if you meet the property and tenant conditions. Here are the steps:
- Double check that your postcode is eligible with the list here
- Phone Aran Insulation on 01284 812 520 or 0800 587 7795
- Arrange a date for work to be costed and carried out
It’s relatively simple, however there is something of a sting as the only funding that Medway Council can provide is for loft or cavity wall insulation. To me, this seems particularly daft because a significant proportion of Medway homes are single brick walls!
Some level of funding is always welcome, but this doesn’t really help landlords carry out upgrade works most EPC ‘D’ rated properties need internal or external wall insulation to achieve a ‘C’ rating.
External wall insulation is often the route to this; however, it can be very costly. EPC certificates tend to give a cost bracket of £10k – £14k to carry out works for example.
The problem is, no landlord will spend this type of money just based on a government pledge and more time goes by without a decision, the closer the deadline gets with less allocation for improvements to be carried out (and paid for).
Something that landlords might want to do in preparation is to get a fresh EPC certificate carried out and gather costs to carry out the works needed to meet a ‘C’ rating.
There is also a proposed £10k cap on the next improvement step required and where external wall insulation is quite costly, it will probably be over £10k anyhow so landlords will be able to apply for an exemption that lasts for five years.
I would however, advise that landlords start to build up a war chest of funds just in case they need to carry out works. We have just over six years until the proposed 2030 deadline, so the saving to get £10k by that point means saving around £139 per month.
We continue to wait and see what policy is finalised (and when). Perhaps we will see some movement in the budget, however I have a feeling that we won’t!
What do you think about this policy? I’d be keen to hear from you and the best way to get in touch is via LinkedIn.
Hasan
