EPC compliance: An opportunity landlords can't afford to ignore

This article was produced in partnership with Together 

Landlords in the buy-to-let market face a host of pressures, from shifting tenant expectations to ongoing regulatory changes. But it’s the new energy efficiency rules that stand out as both pressing and poorly understood.  

Despite moving the line in the sand a few times, the Labour government’s proposal stands: all rental properties in the UK must meet or exceed an Energy Performance Certificate (EPC) rating of C or above by 2030. And waiting to address the issue comes with a cost, warns Tanya Elmaz, director of intermediary sales at Together.  

“Five years will come around really quickly — we can’t take our foot off the gas,” Elmaz says, adding that landlords who invest now will future proof their portfolios and put themselves in a much stronger financial and operational position in the long run.  

Making those changes in the most beneficial way takes planning, awareness, and education — and that’s where brokers come in. 

“It’s not just about staying compliant; it’s about helping clients enhance the value of their assets and ensuring long-term profitability,” Elmaz explains. “Brokers need to be having those conversations now.” 

Opportunity to gain a competitive edge 

Together’s latest research shows a market split in how landlords are responding to EPC requirements. While 12% believe the targets pose the biggest challenge to their property investment ambitions in the coming year and 10% plan to leave the market due to the costs of meeting them, 24.8% plan to mitigate rising costs by investing in energy efficiency improvements and 22.5% are already using current rental income to make upgrades. Nearly one in five (18%) believe that the biggest opportunity over the next year are eco/energy efficient homes or homes with the potential to be made more energy efficient. 

The difference in sentiment reflects the varied makeup of the landlord community. A landlord with one or two properties might not be experienced enough or have the time to develop a wider business, while more professional landlords are actively growing their portfolio with a mix of properties that offer strong rental yields and room for refurbishment. The latter are particularly positive, Elmaz notes, because it’s seen as an opportunity to gain a competitive edge. 

“There's lots of talk about the buy –to-let market being troubled or stagnant, but that's not what Together is seeing,” Elmaz says. “Sure, the market has changed, but that doesn’t mean there isn’t growth. There are lots of different opportunities for profitability — landlords, brokers, and lenders just have to adapt.”  

The benefits of acting now 

Although the 2030 deadline still seems distant, there are many reasons not to delay. Acting now spreads out the cost of upgrades, for example, and avoids last-minute pressures that could result in rushed decisions and missed opportunities. 

Financially, landlords who improve their EPC ratings are likely to see multiple benefits. Properties with higher energy efficiency tend to attract more tenants, often at higher rents, especially as renters are increasingly conscious of their energy bills. These properties may also see a boost in capital value and reduced long-term maintenance costs thanks to improvements such as insulation, new windows, or energy-efficient heating systems.  

Moreover, some landlords may be eligible for government incentives or green finance options that reduce the cost burden.  

“There’s a real business case for energy upgrades,” Elmaz says, adding that beyond the financial upside, there are clear reputational and environmental gains.  

Landlords who commit to improving the energy performance of their properties are contributing to the green movement. They’re more likely to enjoy higher tenant satisfaction and better retention. Younger renters are particularly concerned about sustainability as well as saving on energy bills, and those factors are increasingly key differentiators — they want to live in properties that align with those values. 

Funding the transition 

For many landlords, the question isn’t whether to upgrade their properties — it’s how to afford it. This is where brokers play a crucial role in educating their clients on the funding solutions available, including second charge buy-to-let mortgages. These allow landlords to unlock equity from their properties without disturbing the terms of their first charge mortgage.  

Elmaz explains that second charge products can be used specifically for refurbishment and EPC-related work, offering flexible repayment terms ranging from short to long durations. Together also enables cross-charging, which means landlords can arrange a single second charge loan secured across several properties. This makes it easier for experienced landlords to fund improvements across their portfolio. And even those newer to the market can benefit, especially if they face cash flow constraints or don’t want to refinance their main mortgage. 

“Second charges are an incredibly useful tool and we’re seeing a real uptick in demand for these loans,” Elmaz says. “But some landlords may not be aware that second charges exist or how they can help. It’s the responsibility of brokers and lenders to bring these options to the table.” 

A broker’s role: Beyond the best rate 

At this critical juncture, brokers who may not be in the specialist market or don’t have experience in buy-to-let need to diversify their knowledge, and those already working with landlords should arm themselves with the facts, Elmaz advises.  

“Brokers should provide information to help clients understand exactly what energy efficiency is, what the benefits are, how funding options work, what lenders offer green mortgages, and even how to strategically diversify their portfolio,” she says, noting that may look like turning a single dwelling into a HMO, holiday, or student let — whatever properties have more advantageous yields and higher tenant demands. 

While a lot of brokers and landlords want to take action, many don’t know where to start. Together provides a wide range of support services, from in-depth case studies and educational articles to hands-on broker training, both in person and online. The lender has also partnered with Improveasy, which helps landlords plan and execute EPC upgrades effectively. Elmaz urges brokers to visit the site and take the critical step to grow their knowledge base. 

“A broker's job in this market is not just finding the next mortgage at the best rate,” Elmaz stresses. “It needs to be more than that.” 

A sector still full of opportunity 

Despite the challenges of the last decade, Elmaz remains optimistic about the future of the buy-to-let sector. Commending landlords for demonstrating incredible resilience and adaptability, Elmaz says the state of the market means rentals remain essential to meeting housing demand. A critical piece of that is energy efficiency: it’s something to take control of now. 

“This is about more than ticking boxes,” Elmaz concludes. “It’s about building a better business, serving tenants responsibly, and investing in the long-term health of the housing market. Together is onboard with those priorities, and we’re here to help every step of the way.” 

For more information on Together’s buy-to-let range of products, visit https://togethermoney.com/intermediaries/unregulated-buy-to-let