A Guide on Why and When You Need an EPC

Mortgage and Lending with Olympus Labs

An Energy Performance Certificate (EPC) is a way of rating the energy efficiency of a building. You can receive a rating between A and G, A being the highest form of energy efficiency while G being the worst. The discourse around an EPC can be confusing and perplexing if you are new to it, but don't worry, that is what we're here to explain!

EPC general background:

Now, even after reading the introduction, you may be wondering, what is an EPC? Well, to give background, EPCs were introduced in 2007 in England and Wales for household properties (with more than 3 bedrooms). This overtime even applied to smaller properties and was done to provide information to people about how energy efficient a certain property is.

When do you need an EPC?

Once a building is said to be rented or put on sale, the person who owns the building or the landlord must seize the initiative and get an EPC; they are solely responsible for it. However, when a building is newly constructed, an EPC is still required for it, but now the responsibility lies on the shoulders of the person who built the building. They must provide the certificate to the person who authorized the construction within five days of completion of construction. If a property is to be sold through an agent, they need to show the energy performance indicator from the EPC in all the marketing and advertisements for that certain building.

Why do you need an EPC?

Well, the fact of the matter is that it is a legal requirement for all buildings with repercussions if you fail to give a valid EPC. It is necessary because it provides much-needed transparency and information to potential buyers about how energy efficient the property is. This allows them to have potential savings on fuel payments. It allows potential buyers to think of their future in that building more clearly, as they can make their fiscal calculations on the basis of the EPC. Another reason why it is needed is that it stops disingenuity at the ends of landlords and sellers while lending or selling properties.

Penalties for not making an EPC:

The department of finance and the district councils have the authority and obligation to implement EPC regulations. If you fail to comply with the requirements and get an EPC on time, you can face the consequences such as a penalty charge notice from an authority. For a non-dwelling, the penalty is 12.5% of the net annual value, and for a dwelling, the penalty is £200.

Cost and Assessment:

The cost of an EPC can vary from property to property depending on the location, type, and size of the building. Just like the cost, the time taken for the energy assessment of the building can vary depending on various factors. An average three-bedroom house is estimated to take 2 hours to complete.


You might be curious as to what are the benefits of an EPC. Well, it makes the property really marketable as a seller, and it saves future potential costs as a buyer, so it's a win-win!

It can seem confusing or an annoying burden, but an EPC is necessary for your building, so read up on it using this information and more to get yours made if you need it!

Comments (0)