Tenants face higher energy bills than homeowners

Published on

energy meter

Private tenants across England are more likely to incur higher energy bills than homeowners, according to new research from RICS.

The new report into how dwelling types and lifestyles can affect energy expenditure reveals that those renting in the private sector pay on average £31 more every year than homeowners and £90 more than tenants living in social housing.

Those who own their own property are more likely to effectively insulate and modernise heating facilities than private landlords, and thus see a direct impact on their energy use and spend.

However, a lack of incentives for private landlords to insulate their rental properties and update heating equipment is thought to result in higher bills for their tenants.

Homes with an electric heater can pay between £196 to £898 more a year than households with gas central heating and is the single highest contributing factor to energy expenditure.

With the Green Deal coming in later this year and government legislation planned, landlords will soon be obliged to ensure their properties are brought up to a minimum energy efficiency standard rating. However, RICS believes it is vital that tenants understand the procedures involved and the impact they will have on their energy bills.

Jeremy Blackburn, RICS head of UK policy, said: “Those renting privately should expect the same standards in insulation and heating as homeowners and those in social housing. More needs to be done to ensure private rental property is fit for purpose and energy efficient. It is important that the Green Deal effectively addresses this at a time when tenants across the country are struggling with high fuel bills and increasing rents.

“RICS welcomes the Green Deal as a new way of financing energy efficiency improvements but it is vital that tenants understand exactly what measures are being taken, why, and what the impact on any measures will have on their energy bills.

“A mandatory Home Condition Report before the installation of all Green Deal measures would be a low-cost way of providing the consumer with a clear understanding of this.”

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

The Cambridge brings back fixed rates across core range

The Cambridge Building Society has reintroduced fixed-rate mortgages across its main range, offering new...

Rely completes buy-to-let remortgage in 6.5 working days

Rely has completed a buy-to-let remortgage in 6.5 working days, moving a landlord off...

Conveybuddy gives more than £8,000 to charities in first quarter

Conveybuddy donated £8,249 to three charity partners in the first three months of 2026,...

First Mortgage expands Scottish new-build reach with Home Loan Services acquisition

First Mortgage has acquired Home Loan Services (Glasgow) Ltd in a move that strengthens...

The Buckinghamshire adds fixed rates to impaired credit ranges

Buckinghamshire Building Society has launched a new range of two-year fixed rate mortgages across...

Latest publication

Other news

The Cambridge brings back fixed rates across core range

The Cambridge Building Society has reintroduced fixed-rate mortgages across its main range, offering new...

Rely completes buy-to-let remortgage in 6.5 working days

Rely has completed a buy-to-let remortgage in 6.5 working days, moving a landlord off...

Conveybuddy gives more than £8,000 to charities in first quarter

Conveybuddy donated £8,249 to three charity partners in the first three months of 2026,...