UKHousing

Energy Saving New Homes

Energy bills remain one of the most significant pressures on UK household budgets at present, and the home a person lives in has a substantial bearing on what they actually pay each year. The latest analysis sets out a clear running cost advantage for newer housing stock: owners of new build properties spend approximately £420 less on energy annually than those living in older homes rated EPC D, which translates to a new build being around 27% cheaper to run. The gap stretches further when newer stock is compared with the least efficient properties on the market, those rated EPC F or G, where the annual saving rises to about £618, or roughly 39% in relative terms.

The driver behind this is straightforward. Nearly all new builds carry an EPC rating of A or B, the highest tiers of the energy efficiency scale, whereas fewer than 5% of older properties currently meet that standard. For households unable or unwilling to move into a new build, the most cost effective improvements remain the established staples of home retrofit. Loft insulation can deliver annual savings of up to £390, and cavity wall insulation can save as much as £420 a year. Each of these measures is capable, on its own, of lifting a property up a full EPC band, offering owners of older homes a tangible and relatively low cost route to closing the running cost gap with newer stock and easing the long term burden of energy bills.

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Rental Market Finding Balance

As the UK rental market approaches one of its most significant regulatory changes in decades with the Renters’ Rights Act coming into force on 1 May, the latest data shows a sector adjusting with notable calm. Instead of volatility, the dominant theme is steady stability. Rental growth remains consistent, supply is gradually improving, and the balance between landlords and tenants is shifting in a more constructive way.

On the demand side, average rents across the UK rose in March, marking the first monthly increase since October 2025. This suggests that the recent softening in rental movements may have reached its turning point for now. Annually, rental growth stands at 1.8 percent, reflecting continued upward pressure across most regions. Nearly every part of the UK has seen rents rise compared with a year ago, with the East of England being the only area to record a slight decline.

The supply outlook offers some of the most encouraging signs. The number of homes available to rent is now 3 percent higher than a year ago and has reached its highest level for this time of year since 2021. This increase gives tenants more choice than they have had in recent years. Although demand has cooled compared with last year’s unusually high levels, it remains well above pre pandemic norms, indicating that the rental market continues to show underlying strength even as activity steadies.

Overall, the data points to a market that is becoming more balanced. Supply is improving, rental growth is settling at a more sustainable pace, and demand remains resilient. As the Renters’ Rights Act introduces major changes to tenancy law, the sector appears to be entering this new phase from a position of relative stability, which should support both landlords and tenants as they adapt to the changes ahead.

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