The Warm Homes Plan 2026 was published on 21 January 2026 and gives long-awaited clarity on the new standards for energy efficiency in privately rented properties, and a plan to help the private rented sector to reach these standards.
Let Zero has put together this accessible guide to the new legislation, to give simple advice on new timelines, requirements and funding for the sector. We will also share how landlords and tenants in South Yorkshire can access our Let Zero service to receive help to navigate this changing landscape.

New Minimum Energy Efficiency Standard (MEES)

The headline change for the private rented sector is the new MEES that requires privately rented properties to reach EPC Band C by October 2030 (unless exempt). Properties that do not reach this EPC rating by the deadline will not be able to be tenanted and may be subject to fines. As of July 2025, there were 1.8 million private rented homes with an EPC rating below C.

There will not be an earlier compliance date for new tenancies, as previously suggested.

Help to meet the new standard

To help landlords to get their properties up to the new MEES, there will be financial assistance for those making homes more energy efficient – including:

• Grant support for households to switch to clean heat through the Boiler Upgrade Scheme, which has been extended until October 2030. Customer satisfaction for the scheme so far is extremely high, with 95% of people who have had a boiler upgrade happy with their new heating system.
• New low and zero-interest consumer loans (details and application processes are yet to be announced).
• Funded home upgrade packages tailored for low-income households, including solar, batteries, suitable insulation, and clean heating sources. (details and application processes are yet to be announced).
• Landlord Incentives: The Boiler Upgrade Scheme is available to landlords. Work paid for via personal investment will be a tax-deductible expense.

Key considerations

• Spending will be capped: Property owners will not be expected to spend more than £10,000 per property to get it up to EPC C. This cap includes money spent on some forms of specialist retrofit advice, and we are awaiting further guidance on whether Let Zero services can be counted.
• Early mover benefit: Energy efficiency improvements made from October 2025 will count toward the cost-cap and towards the 2030 target.
• Cost-cap exemption: If the property remains below EPC C after this cap has been reached, the landlord may apply for a ‘cost-cap’ exemption and continue to let the property.
• A “low property value” exemption will lower this cap where £10,000 represents 10% or more of the property’s value.
• EPC rating review: The format of EPC ratings is currently in review. However, any property reaching an EPC rating of C under the current rating system before October 2029 will be considered compliant until that EPC expires.
• Possible penalties: Local authorities will be able to issue a maximum penalty of £30,000 per breach for each property found to not be compliant after the October 2030 deadline.

Continuation of existing retrofit schemes

• The new scheme has set out a timeline for the continuation/expiry of existing schemes:
• The Great British Insulation Scheme is planned to end on 31st March 2026.
• ECO4: ECO4 will be extended by nine months, ending on 31 December 2026, but with no additional funding. This allows suppliers additional time to meet existing targets and remediate non-compliant installations.
• Boiler Upgrade Scheme: Extended to 2030 and available to all tenures.

The Warm Homes plan sets out a roadmap for energy efficiency upgrades in the private rented sector. The Let Zero service is designed as a ‘one-stop shop’ for retrofit upgrades, and is perfectly positioned to offer retrofit advice, assess property portfolios and make bespoke plans of work to get properties up to EPC C. 

To get started with us register your interest on our website, get in touch via info@letzero.co.uk, or come along to one of our drop-in cafés for a complimentary drink and speak to one of our retrofit experts.