How a poor EPC rating can add thousands of pounds to your energy bills

Learn more about how your home’s EPC rating can impact your energy bills and the steps you can take to become more energy efficient

What is an EPC rating?

EPC is short for Energy Performance Certificate. It’s used to describe how well insulated a property is and can give you a good idea of how much its energy bills will cost as a result.

Your home’s EPC rating will be based on a range of factors including how the property has been constructed, the level of insulation, and the window glazing installed.

Every home listed for sale or rent must have an EPC rating, which will range from A to G. An EPC rating of A is considered excellent while a score of G means the property isn’t energy efficient at all.

What is the price difference per EPC rating?

According to a recent Rightmove survey at least 18 million homes in the UK have an EPC rating that’s considered poor, meaning they have a rating of D or below.

The cost savings between a D rating an A rating can be substantial; the annual energy savings bill for an A rated property will be £508 while the owner of a D rated home could face a bill of £2,340. This means you could spend over £1,800 more each year on energy for a property that has a poor EPC rating.

The average annual energy bill for each EPC band varies as shown in the table below:

How to make your home more energy efficient

If you’d like to improve your home’s EPC rating and save on your energy bills, there are several steps you can take:

Switch to LED lightbulbs

One of the easiest and most cost-effective ways to make your home more energy efficient is to switch your incandescent light bulbs for LEDs. These use up to 75% less energy and can last more than 60,000 hours – 25x longer than standard bulbs.

Install loft and cavity wall insulation

Finding ways to reduce the amount of heat that escapes through your home’s roof and walls can also help to improve your EPC rating. Creating a barrier of fibreglass or renewable wood fibre in your loft or by filling in the gap between your walls can keep the heat contained for longer and cut your heating bills.

 Fit double or triple glazing

 A more expensive way to improve your EPC rating is to invest in double or triple glazed windows. This can also be very effective at preventing the heat from escaping and typically costs between £300 and £800 per window.

 Insulate the hot water tank

Another affordable option, buy a £25 insulating jacket to wrap around your hot water tank and you could save around £50 each year.

Upgrade the boiler

If you can afford to splash out a little more, swapping out your boiler for a new and more efficient model can dramatically improve your EPC rating. To get the best results, consider a condensing boiler, heat pump, or zero-emission boiler.

 Install a smart meter

While installing a smart meter won’t directly impact your home’s EPC rating, it can help you track and manage your energy use. That way you can monitor your smart meter daily and make instant changes in response such as lowering your thermostat if the bills start to increase.