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The Energy Bill, due to start in 2012, aims to make millions of properties, whether owned or rented, warmer and cheaper to run. Under the proposal, also known as the Green Deal, home-owners and some businesses will be able to apply for funding to make energy efficiency improvements to their properties, which will be repaid by users’ energy bills. Green Deal funding would have to be disclosed when a property is sold or rented out.

The Green Deal also includes reserve powers for landlords to be compelled by tenants or local authorities to make “reasonable” improvements to their properties. Under the new laws, landlords will not be able to refuse any reasonable request from a tenant to make their homes more energy efficient under the proposed Green Deal. In addition, landlords cannot let a property that does not meet an E energy efficiency rating.  The government estimates this affects around 682,000 rented homes.

As typically a lot of properties in Receivership are of poor quality, there are likely to be a large number of such cases affected by this legislation and the likelihood is many properties will have to undergo some improvement in order to be let.

The bill has yet to receive Royal Assent and this proposal has been lobbied by organisations such as RICS who feel these measures are too harsh. In addition, although the legislation is due to start next year, this part of the bill is not likely to take effect for a couple of years.


Templeton LPA is a subsidiary company of LSL Property Services plc.
Registered in England with company number 06507759. Registered office: Newcastle House, Albany Court, Newcastle Business Park, Newcastle, NE4 7YB.

Part of the LSL Property Services PLC Group