Energy Performance Certificates (EPCs) are no longer an effective tool for encouraging the decarbonisation of homes, according to a new report from the Energy Security and Net Zero Committee (ESNZC).
The report warns the UK is significantly behind in its legally binding target to achieve net-zero greenhouse gas emissions by 2050. More than 29 million homes still require energy efficiency upgrades, yet current EPC standards do little to support this transition, the committee finds.
Energy Secretary Ed Miliband has proposed that all privately rented homes must meet EPC Band C by 2030, or by 2028 for new tenancies. But the ESNZC questions whether the existing EPC framework is fit for purpose to underpin that ambition.
The UK’s legally binding target to reach net-zero greenhouse gas emissions by 2050 requires slashing emissions to near zero. But the Energy Security and Net Zero Committee warns the country is falling significantly behind.
Its report highlights that over 29 million homes still need energy efficiency upgrades and argues that the current Energy Performance Certificate (EPC) framework is failing to support the scale of transition required.
Jonathan Bean, policy and parliament lead at Fuel Poverty Action, told the committee there is a “lack of clarity about EPCs and what they are for,” noting that consumers are “very muddled” about whether EPCs relate to energy bills, overall heating costs, or carbon emissions.
The committee’s report also highlights widespread disengagement, stating that many people including tenants pay little attention to EPC ratings.
The report says: “The evidence that we received made clear that, over the years, EPCs have become devalued, especially by estate agents and landlords, and are of low concern when people are looking to improve their home or move house.”
The report concludes that the existing Energy Performance Certificate system is not delivering the impact needed to help the UK achieve its net-zero emissions target, calling for urgent reform to make it a meaningful driver of energy efficiency.
The report states: “We are deeply concerned that Energy Performance Certificates, as currently calibrated, provide some consumers with poorly conceived advice and have a strong bias against low carbon, but initially more expensive, heating systems.
“As a cost-based metric, Energy Performance Certificates are not, as they stand, an effective tool for decarbonising UK homes. To the contrary, they are deterring consumers from making the switch to low carbon heating.”
The Energy Security and Net Zero Committee is urging a complete overhaul of the EPC framework, proposing a new metric that better captures both a home’s carbon impact and its energy affordability. It also recommends that EPCs serve as a starting point for tailored retrofit advice, with households signposted to independent guidance after receiving an assessment.
The Energy Security and Net Zero Committee is calling for a full redesign of the EPC system, advocating for a revised metric that reflects both carbon emissions and the cost of energy use. It further suggests repurposing EPCs as gateways to personalised retrofit plans, with households directed to impartial advice once an assessment is complete.