Government release partial outcome on EPC Reform for England and Wales
Published alongside the Government’s Warm Homes Plan, the UK Government’s partial response to its wide-ranging consultation on reforms to the Energy Performance of Buildings (EPB) regime marks a major early step towards a modernised EPC framework for England and Wales.
Released on 21st January 2026, the response focuses on two foundational questions for the next-generation EPCs: what reformed EPCs should measure and when EPCs should be required. While it does not represent the full end-to-end reform package, it provides clear direction of travel and an important milestone in the transition to a reformed EPC regime.
What did the consultation cover?
The government is proposing to introduce a number of different metrics to be displayed on EPCs- representing a move away from the colourful A to G rating scale (A+ to G for Non-Domestic EPCs). The new metrics proposed are intended to provide a more complete representation of building energy performance.
- Energy cost: helping individuals understand the financial implications of a building’s energy efficiency and make informed decisions about potential improvements
- Fabric performance: assessing the thermal performance of a building’s envelope
- Heating system: providing information on the efficiency and environmental impact of a building’s heating source
- Smart readiness: assessing a building’s potential to integrate smart technologies that can optimise energy consumption
- Carbon: an estimate of the carbon emissions arising from the energy used in the building
- Energy use: offering insights into overall energy consumption and identifying areas for energy efficiency improvements
The consultation highlights that Domestic EPCs would use four headline metrics which includes: ‘fabric performance’, ‘heating system’, ‘smart readiness’ and ‘energy cost’. Other metrics would then be provided as secondary information which would be less prominent on the EPC.
Non-Domestic EPCs will likely maintain the single headline carbon metric in the short term, as they are already carbon-focused and aligned with net zero objectives.
The consultation proposes a change to when an EPC is required for a property. At present, the validity period of an EPC is 10 years, and a valid EPC is required when a property is marketed for sale or let or is newly constructed.
The consultation now poses the question as to what the validity period for EPCs should be, presenting 6 different options, ranging from less than 2 years to 10 years.
A reduction of validity period is also being proposed for DECs, from 10 years to 7 years for buildings between 250-1,000m², and from 7 years to 5 years for buildings over 1,000m (DEC Recommendation Report Only).
As well as the validity period, the government is also considering increasing the requirements/trigger points for EPCs. One of the biggest proposals here includes the need for private landlords to get a new EPC when their current EPC has expired.
The government is proposing a redesign to ACIRs which will aim to simplify them for system operators. A new look report will aim to include the following information:
- the likely efficiency of the system and any suggestions for improvement of any faults identified
- the adequacy of equipment maintenance and any suggestions for improvement
- the adequacy of the installed controls and control settings and any suggestions for improvement
- the current size of the installed system in relation to the cooling load and any suggestions for improvement
- consideration of the capabilities of the system to optimise its performance under typical operating conditions
- a summary of the findings and key recommendations
The consultation aims to enhance compliance and enforcement of EPC requirements.
Proposed updates include revising penalties to better reflect the actual costs of compliance. At present, some fines may be lower than the cost of meeting regulatory requirements, making non-compliance a more attractive option.
Additionally, it has been highlighted that certain penalties have remained unchanged since 2007 and may no longer serve as an effective deterrent.
The consultation is also looking at energy assessors; the training they receive to qualify, as well as the ongoing competency they need to deliver energy certificates for different buildings.
Options have been proposed to tighten this up and identify areas where additional/optional training would be of use. This could include energy assessment of heritage buildings for example.
What is the Government’s partial response?
A Shift Toward Multi-Metric Domestic EPCs
The Government has confirmed its intention to move away from a single headline rating and introduce new-style domestic EPCs built around multiple performance metrics. The proposed headline metrics are:
- Energy cost – an estimate of how much a home may cost to run, helping consumers compare likely running costs. This is a legacy metric.
- Fabric performance – an assessment of the thermal performance of the building envelope (e.g., walls, roof, floors, windows).
- Heating system – information on the efficiency and environmental impact of the home’s heating source.
- Smart readiness – an indicator of a home’s potential to adopt smart technologies that can optimise energy use.
Clarity for Specific Property Types
The partial response also highlights areas where the Government intends to provide clearer guidance and tighten consistency, including:
- Houses in Multiple Occupation (HMOs) – an indication that whole-building EPCs may apply even where rooms are individually let.
- Short-term and serviced accommodation – clarification on how EPC requirements apply in practice.
- Heritage and listed buildings – a review of exemptions to ensure they remain proportionate, without undermining consumer transparency.
More transparency for buyers and renters
A key theme in the partial response is earlier, clearer disclosure for consumers. Under the proposed approach, an EPC would need to be in place at the point a property is marketed, rather than later in the transaction at the point of sale or rent. The Government also signals that, for all privately rented homes, a new EPC would be required when the existing certificate expires, meaning renewal would be driven by the end of the validity period, not only by a change in tenancy.
Validity period for EPCs to remain at 10 years
The Government has confirmed that the 10-year validity period will remain in place. This is disappointing: Elmhurst has long supported a shorter validity period to keep EPC information current and would have welcomed a reduction, at minimum aligning with Scotland’s direction of travel toward five years.
Timelines
The Government’s stated ambition is to deliver these changes by October 2026, alongside the Home Energy Model (HEM). This is a fundamental shift, and the sector will need time to:
- Upskill assessors
- Develop and test the updated EPC “wrapper,” and
- Review and update conventions and supporting guidance.
If delivered as outlined, from October 2026 EPCs in England, Wales and Northern Ireland are expected to diverge more sharply from Scotland, including different headline metrics and potentially a different approach to validity and presentation.
What are we still awaiting clarity on?
While this update provides useful insight into the future direction of EPC reform, a number of key areas were not addressed in this partial response. We are still awaiting clarity on:
- How EPCs quality will be managed in future, including changes to training, standards, auditing and enforcement.
- How accessibility of building performance data will be improved, including how consumers, landlords and the supply chain can use it effectively.
- The validity period for Display Energy Certificates (DECs).
- A redesign of Air Conditioning Inspection Reports (ACIRs) and what changes will mean for assessors and compliance.
Elmhurst thoughts
EPC reform is a real opportunity to improve building performance, cut running costs and support progress toward net zero, particularly alongside the Warm Homes Plan. But the proposed multi-metric approach will only work if it’s backed by clear guidance and strong consumer education, so all stakeholders can use the information confidently. We’re also disappointed the 10-year validity period remains, as it risks leaving households and the market relying on out-of-date data.
Elmhurst will continue to champion reform that is clear, high-quality and practical to deliver and we’re here to help assessors and their organisations prepare through in-depth guidance and training.