Improving the energy performance of privately rented homes in England and Wales

Subject: Re: Tenant and fuel poverty workshop: Your feedback on the consultation to improve the energy performance of privately rented homes in England and Wales

4th November 2020

Dear all,

Thank you very much for your attendance at our workshop today. This is highly appreciated.

In next steps, we’d highly appreciate you formally feeding into the consultation on Citizenspace here, so we can acknowledge and evaluate your feedback ahead of the Government Response.

The consultation and Impact Assessment are available of GOV. UK here.

Best wishes,
Helen


Helene Bartos, Senior Policy Advisor, Domestic Private Rented Sector Energy Efficiency Trajectory
1 Victoria Street, London, SW1H 0ET

 

FPRA Chairman Bob Smytherman attended the Tenant and fuel poverty workshop and completed the online consultation submission, a copy is below:

Response ID ANON-CH5P-*****-*
Submitted to Improving the energy performance of privately rented homes
Submitted on 2020-11-04 15:12:19

About you

What is your name?
Name:  Bob Smytherman

What is your email address?
Email:   bob@fpra.org.uk

What is your organisation?
Organisation:   The Federation of Private Residents Association Ltd

Are you happy for your response to be published?
Yes

Would you like to be contacted when the consultation response is published?
Yes

How did you hear about this consultation?

Where did you hear of this consultation?:
Email from BEIS

Other (please specify):

The consultation

Question 1 We would welcome views on possible impacts of the policy on the size of the PRS sector, the effect this could have on vulnerable households, and suggestions to mitigate this effect where it does occur, including any evidence.

Please provide your views below:
Please consider long -leasehold flat owners who are unable to access Grants to improve their property and property management companies are unable to make improvements due to restrictions in the lease where service charges only allow for maintenance & repair not improvements.

Question 2 Do you foresee any impacts for protected groups?
Yes

Please explain your answer below and provide evidence to support your answer:
Leasehold flat owners face potential of being unable to sublet their flat due to no fault of their own.
Please refer to Dr Nick Roberts legal advisor to the FPRA Ltd article in New Law Journal a few years ago where the issues were discussed and solutions suggested.

Question 3 We would welcome views on any possible long-term impacts of COVID-19 that could impact on making the required energy efficiency improvements from April 2025 and suggestions to mitigate this effect where it does occur, including any evidence.

Please provide your views below:
The current situation will impact on Parliamentary timetable needed to amend leasehold legislation to allow improvements to be covered by service charges paid by leaseholders.

Question 4 Do you agree with the government’s preferred new target of EER C as a minimum energy performance standard in the PRS?
No

Please explain your answer below:
Not unless changes are made to simplify leasehold law to allow service charges to cover such improvements.

Question 5 We would welcome your views on the pros and cons of these alternative metrics, in relation to our overall policy goals around reducing carbon emissions, fuel poverty, and energy bills.

Please provide your views below and provide evidence with your answer.:
Flat Management Companies should not be charged for Commercial & business rate for energy and should be treated as residential.

Question 6 Do you agree with the government’s preferred policy scenario of requiring ‘new tenancies’ to reach EER C from 1 April 2025 and ‘all tenancies’ to reach EER C by 1 April 2028? If not, do you have alternative suggestions?
Don’t know

Please provide evidence with your answer.:
If leasehold law changes have been made and tested in trials.

Question 7 Do you agree with increasing the cost cap to £10,000 inclusive of VAT as our preferred policy proposal?
Don’t know

If not, please explain why not and provide evidence with your answer.:
Flat Management Companies should be exempt from VAT

Question 8 Should the £10,000 cost-cap be adjusted for inflation?
Don’t know

Please explain your answer:
Possibly

Question 9 Should a requirement for landlords to install fabric insulation measures first be introduced?
Don’t know

If yes, when, and how should such a requirement be implemented? Please provide evidence to support your answer.:
Possibly , but resident run management companies should not be treated the same as commercial Freeholders.

If no, what are the alternative installation methods that maximise energy efficiency outcomes? Please provide evidence to support your answer.:
Additional support & time required to help resident leaseholders self-managing their buildings

Question 10 We would welcome views on the alternative of a dual metric target to reach both EER Band C cost metric and also EIR Band C carbon metric, with an increased cost-cap of £15,000 inclusive of VAT.

Please provide your views below:
Possibly

Question 11 Should government introduce an affordability exemption?
Yes

If yes, we would welcome views on how such an exemption should be designed and evidenced, and any potential impacts on the PRS market.:
Universal Credit & Housing Benefit system would be best way to set criteria of affordability

Question 12 What should the eligibility criteria be for an affordability exemption if it is introduced, and how can the criteria accommodate fluctuations in a landlord’s finances and/or in the value of a property?

Please provide your views below and provide evidence to support your answer:
Use Tax & Benefit system

Question 13 Should we incorporate TrustMark into energy performance improvement works?
Yes

If not, please explain why not and provide evidence with your answer.:

Question 14 What role can the private rented sector play in supporting the rollout of smart meters and what are the barriers and possible solutions to achieving this?

Please provide your views below:
This should be mandated by Government with a clear timescale

Question 15 We would welcome views on whether the PRS Regulations may need to be tightened further for the 2030s?

Please provide your views below and provide evidence to support your answer:
We would support provided long-leaseholders are treated separately

Question 16 What are the other steps government could take to increase awareness and understanding of the PRS Regulations?

Please provide your views below and provide evidence to support your answer:
Provide funding to stakeholder & trade bodies to communicate to different parts of the sector

Question 17 Is the introduction of a PRS property compliance and exemptions database necessary to help local authorities to proactively enforce minimum energy efficiency standards?
Yes

If yes, should we include the per-property registration fee within the cost cap?:
Yes

If not, what alternatives to a PRS property compliance and exemption database would you suggest?:

Question 18 Do you agree that government should set a maximum total registration fee for landlords with a very large portfolio?
Yes

If yes, how many properties should qualify as a “very large” portfolio? What should the maximum fee be? :

If you do not agree to a maximum total registration fee proposal, do you have alternative suggestions?:

Question 19 Should government seek primary powers to place a requirement on letting agents and online property platforms to only advertise and let properties compliant with the PRS Regulations?
Yes

If not, please explain why not and provide evidence with your answer.:

Question 20 Should government remove the seven to twenty-one day exemption period on landlords making all reasonable efforts to provide a valid EPC prior to a property being marketed or let?
Yes

If not, please explain why not and provide evidence with your answer.:

Question 21 Should government increase the level of the fixed civil penalty fine for offences under the EPB Regulations (currently set at £200)?
Don’t know

If yes, how high should the fine be?:

Question 22 Should government enable LAs to inspect properties for PRS compliance?
Yes

If not, please explain why not and provide evidence with your answer.:
If resourced to do so

Question 23 Should government permit local authorities to use EPC Open Data for some phases of PRS enforcement?
Yes

Please explain your answer below and provide evidence to support your answer:
This is simple way to do it

Question 24 Should there be a requirement for post-improvement EPCs (and for the cost to be included within the cost cap)?
Yes

Please explain your answer below and provide evidence to support your answer:

Question 25 Should a valid EPC be in place at all times while a property is let?
Yes

Please explain your answer below and provide evidence to support your answer:

Question 26 How can the most consistent set of recommendations in the EPC be assured? Does using only the most recent SAP methodology allow this?
Yes

Please explain your answer below and provide evidence to support your answer:

Question 27 Should listed buildings and those in a conservation area be legally required to have an EPC?
Yes

Please explain your answer :
Where practical and not cost prohibited

Question 28 Should government seek primary powers to increase the maximum fine level to £30,000 per property for each breach of the PRS Regulations?
Yes

If yes, should it be adjusted for inflation? Please provide evidence with your answer.:
If not, what would be an alternative, appropriate maximum fine level? Please provide evidence with your answer.:

Question 29 Should government introduce powers for tenants to request that energy performance improvements are carried out where a property is in breach?
Yes

If yes, how could a redress mechanism be devised?:
Question 30 Should government introduce some form of local authority disclosure or benchmarking where a property is in breach of PRS Regulations?
Yes

Please explain your response below :
Question 31 Do you agree that the updated exemption regime should come into force on 1 April 2025?
Yes

If yes, do you agree that the property compliance and exemptions database should be opened six months prior to commencement of exemptions?:
If not, please explain why.:

Question 32 Should the ‘new landlord’ temporary exemption be simplified so that it applies to any person who has become a landlord within the last six months?
Yes

Please explain your answer and provide evidence to support your answer:
If you would like to upload any supporting evidence, please do so here.
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