Millions of private renters across Britain are being hit with an astonishing £1.2 billion in unnecessary energy bills due to substandard properties with poor insulation and inefficient heating systems, according to a damning new report from Citizens Advice.
The charity's research reveals a stark divide between rental and owner-occupied properties, with tenants paying hundreds of pounds more annually despite typically living in smaller homes. The analysis shows the average energy performance certificate (EPC) rating for privately rented properties stands at band D, compared to band C for owner-occupied homes.
The Hidden Cost of Inefficient Rentals
Citizens Advice estimates that approximately 2 million privately rented homes in England alone fall below the proposed minimum EPC band C standard. This regulatory gap costs tenants an extra £1.2 billion in energy bills each year - averaging around £570 annually per household.
"The UK's least energy-efficient homes are disproportionately occupied by renters," the report states. "These tenants face a double whammy of higher energy costs and colder, draughtier living conditions, exacerbating the current cost of living crisis."
Regulatory Gaps and Enforcement Failures
Despite government regulations introduced in 2020 requiring rental properties to meet minimum EPC band E standards, enforcement remains inconsistent. Citizens Advice helped with over 1,200 cases related to energy efficiency in private rentals last year alone, with many tenants reporting:
- Inadequate insulation and draughty windows
- Old, inefficient boilers and heating systems
- Landlords refusing to make improvements
- Difficulty getting repairs completed
- Retaliation threats when requesting upgrades
Regional Disparities and Impact on Vulnerable Tenants
The crisis affects renters nationwide, with particular concentration in areas containing older housing stock. The report highlights how vulnerable tenants, including those on low incomes and with disabilities, are disproportionately affected by inefficient rental properties.
"Many renters are effectively subsidising their landlord's failure to maintain and upgrade properties," the charity noted. "This creates an unfair financial burden while contributing to higher carbon emissions nationwide."
Call for Government Action
Citizens Advice is urging the government to strengthen regulations and enforcement, including:
- Raising minimum EPC standards to band C for all new tenancies by 2025
- Implementing stronger enforcement mechanisms with meaningful penalties
- Providing better support and clearer rights for tenants requesting improvements
- Creating targeted financial support for landlords needing to make upgrades
The charity emphasizes that improving rental property efficiency represents a crucial step in addressing both the cost of living crisis and the UK's carbon reduction targets, while ensuring fair treatment for the nation's 11 million private renters.
