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Landlords should not lose out over Green Deal, says Green Building Council

23rd May 2011

Owners of buy-to-let properties as well as tenants should benefit from the government's Green Deal scheme, it has been claimed.

According to John Alker, director of policy and communications at the UK Green Building Council, although it places a burden on landlords in the short-term, the programme will bring eventual gains.

Under the scheme, homeowners, including those of buy-to-let properties, will be able to carry out energy efficiency upgrades and pay for the cost out of the savings such upgrades provide.

However, while upgrades are optional for the owner-occupier sector, climate change secretary Chris Huhne recently announced details of a new Energy Bill, which, from April 2016, means landlords may not refuse "reasonable" requests from tenants to improve the energy efficiency of their properties.

Furthermore, from April 2018, it will be illegal to rent out a property which has a rating of less than an E for energy efficiency.

But according to Mr Alker, this does not mean that landlords have to lose out.

"The Green Deal is specifically designed so that there's no upfront cost either for the landlord or the tenant," he said.

"The landlord will obviously have to initiate the Green Deal, but it will reduce the electricity bill for tenants in the long run and should make the property better. To be honest, there should be no losers here."

He added that the benefits of the Green Deal still need to be made clear to the public in order to incentivise energy efficient upgrades.

"I think different messages work for different people. Whether it's about reduced energy bills, having a higher quality and more valuable home, or the environment, there needs to be a range of different drivers and incentives to do this," said Mr Alker.

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