Does my Property Require an EPC?
Residential
From 1 October 2008 sellers and landlords will be required by law to provide an Energy Performance Certificate (EPC) for all buildings or parts of buildings when they are sold or rented.
If I have a house with bedsits, must I obtain an EPC for each bedsitting room?
This will depend on the type of tenancy you grant.
Joint and several
If you grant a joint and several tenancy where all the tenants are on one agreement, then this no different to letting a normal house to a single family in legal terms. Therefore, one EPC will be required for the whole house.
Individual let rooms
If you let each room individually on separate tenancies, then according to the DCLG guidance, an EPC is not required: "An EPC is only required for a dwelling that is self-contained, meaning that it does not share essential facilities such as a bathroom/shower room, wc or kitchen with any other dwelling, and that it has its own entrance, either from outside or through common parts, that is not through another unit." [Page 10 Energy performance certificates for dwellings in the social and private rented sectors]
The Guild of Residential Landlords is not entirely satisfied that this advice is correct (please see below important note), however after clarifying this advice with the DCLG, they replied by email with the following:
"Dear Mr Thompson
Thank you for your enquiry to the EPBD helpline, the response to your enquiry is as follows.
In regards to the bedsits, please refer to page 16 of the guidance document 'Energy performance certificates for dwellings in the social and private rented sectors: A guide for landlords'. This section includes information on houses in multiple occupancy. http://www.communities.gov.uk/
In a situation where a landlord has several tenants in bedsits in a house that has shared facilities each on their own contract an EPC would not be required.
Please note that we cannot offer legal advice, nor can any interpretation of the law that we suggest be regarded as authoritative.
If you are still unclear on what the law requires you to do, after reading the guidance that is available from CLG, we would suggest that you seek you own legal advice.
Should you require further information please call the helpline direct to discuss your enquiry further on 0845 365 2468.
EPBD Helpline tel: 0845 365 2468 email: help@epbduk.info"
Important note to above "individual let rooms".
As suggested above, we are not entirely sure this advice is correct, although there would appear to be no reason why a landlord shouldn't follow the DCLG advice. Our reasons for not being certain about the DCLG advice is shown below.
Regulation 5 provides: "5.—(1) ..., this regulation applies where a building is to be sold or rented out.
(2) The relevant person shall make available free of charge a valid energy performance certificate to any prospective buyer or tenant—
..."
This shows that an ECP needs to be provided in respect of a building, not a dwelling as stated in the DCLG guidance.
Building is defined in the regulations as " “building” means a roofed construction having walls, for which energy is used to condition the indoor climate, and a reference to a building includes a reference to a part of building which has been designed or altered to be used separately;"
Although the definition of building includes being designed or altered to be used separately, it does not have to be exclusively a separate dwelling. Therefore, a building is both any building which uses energy which has walls and a roof and this also includes a separate dwelling. This latter statement (it is submitted) is simply confirming that a certificate is required on building that has been converted into separate self contained flats. However, it does not exclude bedsit type accommodation.
Therefore it is submitted, that even in a case of individual let rooms, because energy is being used in a building having walls and a roof, then even bedsits meet the definition of a building, even though they are not separate dwellings.
In addition to above, Regulation 11(7)(a) seems to be covering a scenario where an EPC has been provided by an assessor for a building on a common certification of the whole building for blocks with a common heating system. This implies that it is possible to require an EPC in a building using a common heating system.
This is not to say that an individual room requires an EPC. It is submitted that the house would require an EPC and a copy given to each prospective tenant.
The other side of the argument is that it seems unfair if a landlord is paying for the gas and electricity, what difference does it make to the tenant? However, the point of an EPC is to determine the energy used and how much carbon is emitted. Cost is not relevant to the EPC.
Commercial
From 1 October 2008 all commercial buildings will require an EPC on sale or rental or upon construction.
Selling or letting part of a building, where the building has a common heating system: If a building has a common heating system then the seller or prospective landlordcan prepare(or make available) an EPC for the whole building. This EPC may then be made available for anypart of the building subsequently offered for sale or let. It is also possible to prepare (or make available) an EPC for a part designed or altered to be used separately, if required.
Buildings with separate parts and separate heating systems: An EPC should be prepared (or made available) for eachpart of a building that is being offered separately for sale or let. The EPC should reflect the services in those part(s) being offered for sale or let. A separate EPC should be provided for any common areas that exist solely or mainly for access to the part.
Selling or letting a building as a whole: You can prepare (or make available) an EPC for the whole building, even if that building has parts designed or altered to be used separately with separate heating systems. If the building has a common heating system, the EPC may subsequently be used for any part of the building offered for sale or let.
