What Is an EPC Rating?
An Energy Performance Certificate rates your home's energy efficiency on a scale from A (most efficient) to G (least efficient). It looks at things like insulation, heating systems, windows, and overall energy use to give your property a score.
You need a valid EPC to sell or rent a property, and they last for 10 years. But increasingly, your EPC rating is also becoming relevant when it comes to your mortgage.
Why Lenders Care About Energy Efficiency
A growing number of lenders are now offering preferential rates for energy-efficient homes — those with an EPC rating of A, B, or C. The logic is simple: homes that are cheaper to run leave homeowners with more disposable income, which reduces the risk of missed mortgage payments.
Some lenders offer green mortgage products with lower interest rates or cashback incentives if your property meets certain energy efficiency standards. This is a trend that's expected to grow significantly in the coming years.
How to Improve Your EPC Rating
Many improvements are relatively straightforward and can move you up one or two bands:
- Loft insulation — one of the cheapest and most effective upgrades
- Cavity wall insulation — if your property has unfilled cavity walls
- Double or triple glazing — replacing old single-glazed windows
- Smart heating controls — upgrading your thermostat and radiator valves
- LED lighting — replacing halogen bulbs throughout
- Solar panels — a bigger investment but significant impact on your rating
Future Regulations to Be Aware Of
The government has signalled its intention to raise minimum EPC standards for homes over the coming years. While the exact timeline and requirements are still being finalised, the direction of travel is clear — energy-efficient homes will be easier and cheaper to mortgage.
If you're planning to remortgage, it's worth considering whether some energy efficiency improvements could both reduce your bills and unlock better mortgage rates.
Important: Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual rate available will depend on your circumstances. Think carefully before securing other debts against your home.