The Energy Independence Bill, now before Parliament, proposes a new maximum civil penalty of £30,000 for landlords in breach of minimum energy efficiency standards in the private rented sector, according to a recently published government factsheet.
The penalty would apply to breaches of the Energy Efficiency (Private Rented Property) (England and Wales) Regulations 2015, the government said. The Bill would also allow the regulations to be extended to houses in multiple occupation, according to the factsheet.
Councils would gain stronger powers to enforce minimum energy efficiency standards across private rented homes, according to Propertymark’s analysis of the Bill. Local authorities would get improved access to compliance information to help identify properties that fall below the required standard.
The government confirmed on 21 January 2026 that the minimum energy efficiency standard for privately rented homes will rise to EPC C from 1 October 2030, according to the factsheet. Rented homes must meet the standard, or have a valid exemption registered, to be let.
The government’s January 2026 consultation response proposed raising the maximum penalty to £30,000 per property, per breach, according to law firm Osborne Clarke. The factsheet does not specify the basis, and Property118 reported that it is not yet clear whether £30,000 would apply as a single maximum or per property, per breach.
The government said the higher penalty is intended to exceed the maximum required investment per property of £10,000, as confirmed in its 21 January 2026 response.
The Bill would also establish the Warm Homes Agency in law. Propertymark described it as a new body to simplify access to advice and support for property improvements.
Propertymark said the proposals reinforce, for letting agents, the importance of understanding the energy performance of the properties they manage and encouraging early planning for improvements.
