Exemptions

The main exemptions for landlords are:

  • if they have carried out all the “relevant energy efficiency improvements” for the property (or there are none that can be made) and the property remains sub-standard (below E rating)
  • if the cost of making even the cheapest recommended improvement would exceed £3,500 (including VAT) - this applies only to domestic property
  • if recommended cavity wall insulation, external wall insulation or internal wall insulation (for external walls) is considered by an expert to be not appropriate for the property due to its potential negative impact on the fabric or structure of the property
  • if third-party consents are not available (for example, from tenants or planning authority)
  • the property does not require an EPC (listed building)

You can find further information on all exemptions and where they apply on GOV.UK.

If an exemption applies to a property, a landlord must register and provide evidence of this on the PRS Exemptions Register.

Most exemptions last for 5 years. As exemptions on a let property are not transferable if a property is sold or transferred, a new owner will need to register a new exemption.