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Tenant group calls for rent caps and stricter landlord penalties

Tenant advocacy organisation Generation Rent has launched a campaign calling for restrictions on rent increases following energy-efficiency upgrades and stronger enforcement measures against landlords who fail to meet minimum energy performance standards.

The campaign, titled ‘Raising standards, not rents’, is funded by the European Climate Foundation and focuses on the implementation of upcoming energy efficiency requirements for rental properties.

Energy efficiency debate

Ben Twomey, Chief Executive of Generation Rent, stated that the debate around improving energy efficiency in rental properties has become contested. “Getting this policy right will be crucial,” he said, noting that critics have raised concerns about costs to tenants whilst landlord representatives have argued that retrofit work would necessitate rent increases.

In its report, ‘Raising standards, not rents: Making energy efficiency work for private renters’, the organisation states: “Landlords have consistently shown that they will not make energy efficiency improvements unless forced to do so.”

The report challenges claims that retrofit costs must lead to higher rents, stating: “It’s clear that the primary reason most landlords claim to need to raise the rent is because they are able to charge more on the local market and not because they have a financial need to do so.”

Proposed measures

Generation Rent is urging ministers to allow tenants to apply for Rent Repayment Orders where landlords fail to meet the EPC C requirement once the new Warm Homes rules are implemented in 2030.

The proposals come as the private rental sector faces regulatory changes around energy performance standards, which could affect property investors’ compliance costs and rental yield calculations in the coming years.

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