As we head towards one of the most expensive periods of the year – Christmas - Ofgem confirmed the energy price cap would rise at the start of 2025.
The next energy price cap will run from 1st January to 31st March 2025, increasing to £1,738 per year for a typical household who use electricity and gas and pay by Direct Debit. This is an increase of 1.2% compared to the cap set between 1st October to 31st December 2024 (£1,717).
Looking ahead, both British Gas and EDF predict the energy price cap will rise again for the second quarter of 2025. Their forecast is for a 4% or a 1% rise, respectively. This could possibly take the cap to £1,810 between 1st April to 30th June 2025.
The 1st January increase and possibility of a further hike feeds into the bigger fuel poverty picture. This is when a household needs to spend more than 10% of its income on energy to heat a home to a satisfactory level. In October 2024, the charity National Energy Action estimated that 6 million households across the UK were experiencing fuel poverty.
A household can take the form of a tenant or someone who owns their own home, so it’s highly likely there are renters who are thinking carefully about turning on the central heating.
Unlike homeowners, tenants don’t always have the permissions required to make every energy efficiency change possible, such as major works like installing an air source heat pump or PV solar panels. There are, however, plenty of ways to reduce energy consumption and lower fuel bills at a renter’s disposal.
Everyday advice – no permission required
If the property is centrally heated, adjusting the thermostat is the quickest way to use less energy. Turning the room thermostat down from 22 degrees to 21 could save £90 a year, while adjusting the dial from 21 degrees to 18 has the potential to reduce fuel bills by £260 annually.
Renters with a combi boiler can also make two small tweaks to the settings to save money. It’s usually possible to adjust the temperature of the water that’s pumped through the radiators and that comes out of the taps. Lowering both can maintain comfort levels and save up to £30 a year.
Other simple swaps include:
- replacing all old light bulbs with LED versions
- replacing broken appliances with A-rated energy efficient models
- using the schedule function on the central heating control to only heat a home when required
- using individual thermostatic radiator valves to adjust the temperature in each room
- avoiding using the standby mode on electrical items
- installing thermal curtains and keeping them closed
- using a dehumidifier or a heated airer instead of a tumble dryer
Changes that will need a landlord’s permission
Most renters know that redecorating the property, knocking down internal walls and even drilling holes may break the terms of their tenancy agreement but it’s less clear when it comes to minor additions, especially if they’re not detailed in the contract.
The safest course of action is to seek permission to make energy efficiency changes from the landlord. Changes would include applying adhesive draught excluders, insulating pipes and water tanks, installing a chimney block, fitting secondary glazing film and using heat reflective foil behind radiators.
Can tenants request energy saving improvements?
It is possible for tenants to request permission to make energy saving improvements to the landlord’s property, and the Government says landlords must not ‘unreasonably refuse consent’. If permission is given, the tenant is expected to fund the changes privately.
What are a landlord’s energy efficiency obligations?
While landlords are not legally required to make their own energy saving improvements to their buy-to-let, they do offer more eco-friendly properties by default. This is because all privately rented homes must have an EPC rating of at least an E. In the future, the energy efficiency of rented homes will improve further, as the Government is changing the mandatory EPC requirement. By 2030, landlords will need to ensure their buy-to-let properties have a minimum EPC rating of C.
Tenants looking to secure the most energy efficient property can start by choosing a rental with the best EPC rating – with A being the most efficient and E being the lowest rating a private rented property can legally have. Please contact us for options and energy advice.
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