Renters’ Rights and MEES: Key Updates for Landlords

The private rented sector is experiencing significant changes, but recent insights provide both reassurance and opportunities for buy-to-let investors.

MEES Update

The government is consulting on new Minimum Energy Efficiency Standards (MEES) for rental properties:

• EPC Rating C by 2030 – All private rentals may need to meet this standard.

• £15,000 cost cap – Proposed limit on landlord spending for upgrades.

• Fines up to £30,000 for non-compliance.

While these changes bring additional costs, energy-efficient homes attract quality tenants and higher rental yields. The government’s “Reforms of the Energy Efficiency of Buildings” white paper is under consultation, which could redefine EPC requirements. Grants may also be introduced to help landlords manage upgrade costs.

Renters’ Rights Update

The Renters’ Rights Bill is progressing, introducing key reforms:

• Section 21 evictions scrapped – No more “no-fault” evictions.

• Private Rented Sector Ombudsman – A new dispute resolution service.

• Decent Homes Standard – Stricter property condition requirements.

Recently, I attended a conference on this topic, featuring a presentation from David Smith discussions with MP Kevin Hollinrake, Shadow Housing Secretary. These conversations provided valuable insights and a more positive outlook on the proposed changes.

Landlords Can Still Regain Possession

Concerns have been raised about landlords struggling to reclaim their properties. However, mandatory grounds for possession will still exist for landlords who need to sell or move back in, provided the tenancy has lasted at least 12 months. The notice period will be four months.

While eviction on tenancy breaches remains possible, it has traditionally been underutilised due to the ease of Section 21 notices. With these changes, landlords may need to follow stricter processes, but the impact will likely be limited to specific cases.

What This Means for Landlords

Despite the reforms, landlords maintaining high property standards and best practices should continue to thrive. Rents are still rising, making yields attractive, and with good insurance and reasonable equity, landlords should navigate these changes effectively.

For further details on the bill, visit: https://www.nicolandco.co.uk/key-insights-on-the-upcoming-renters-rights-bill-what-landlords-need-to-know/

If you would like to discuss or need support with these the items discussed in this article, you can reach out to our Lettings Manager, James Gwynne, who will be happy to discuss further. His details are: 

Email: [email protected] 

Telephone: 01905 675999