When introduced, the new regulations will require a property to meet the minimum level of energy efficiency of:
- an EPC rating of D, where there has been a change in tenancy from 1 April 2022 and
- there is an EPC rating of D by 31 March 2025.
This is in contrast to the Energy Efficiency (Domestic Private Rented Property) (Scotland) Regulations 2020 that were due to come into force on 1 April 2020 but were postponed due to the COVID-19 crisis, where the minimum standard for properties was initially set out with an EPC rating of E at change of tenancy from 1 October 2020.
Any properties that are unable to meet the proposed minimum standard will be included on an exemption register, which will be operated and monitored by the local authorities. Property owners will have to evidence that they have attempted to meet the standard and undertaken energy efficiency improvements to the property up to the cost cap of £10,000.
Updated guidance will be made available early in 2021 and ARLA Propertymark will be working with the Scottish Government in drafting this.
There is potentially the opportunity for property owners to obtain funding to make improvements to their properties through Home Energy Scotland. Details of the funding and eligibility criteria can be found below.