1 The current electricity bill payer always pays the Green Deal repayments If the property is left vacant, you will need to make the repayments until a new tenant moves in and starts paying the electricity bill.
2 Your tenant needs your permission before taking out a Green Deal. Your tenant needs your permission before taking out a Green Deal. If your tenant wishes to take out a Green Deal Plan, they will first need your agreement to both the improvements and the financial aspects of the plan, like the amount of the repayments and how long repayments need to be paid for.
3 You need tenants’ permission before you take out a Green Deal Where the tenant is the electricity bill payer, they will need to make repayments for the Green Deal on their electricity bill. So you will need their express permission before taking out a Green Deal at the property.
Energy Act 2011 - 'be warned'
The Energy Act 2011 contains powers so that from 2016 landlords should not be able to refuse reasonable requests for consent to install Green Deal measures from their tenants. From 2018 landlords should ensure their privately rented properties meet a minimum energy efficiency standard (likely to be set at EPC rating ‘E’) or that they have installed the maximum package of measures under the Green Deal.
4 All improvements are quality assured All improvements made under the Green Deal are completed by Green Deal Installers. This means the work is completed by professionals that meet Green Deal standards and are authorised to operate under the Green Deal.
5 New tenants need to be aware of the Green Deal and acknowledge the repayments they need to make When renting out a property with a Green Deal you need to provide the tenant with a copy of the Energy Performance Certificate (EPC) (or, in Scotland, the EPC and the Recommendations Report) showing:
• the improvements that have been made under the Green Deal
• the repayment amounts the electricity bill payer needs to make
• the length of the Green Deal
• the name of the Green Deal Provider.
You will need to make sure that tenant acknowledges the Green Deal and the repayments by including standard prescribed wording.
Updating your property to ensure it is suitable, or repairing what has been broken can be a headache especially when there's tenants in your property. Now with the Green Deal those updates and repairs will not leave you out of pocket.
With Green Deal finance the repayments for the 12 initiatives above will be added to the electricity bill and as it is your tenants who pay this bill you are essentially installing initiatives that normally cost £1,000's, for the price of a Green Deal Assessment - £150.
You are obliged to inform your tenants of the Green Deal charge, however as the total bill will not go up they will not be disadvantaged
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