How Much Do Energy Bills Vary by EPC Rating?

Quick links:

• Understanding your EPC: What is a good energy rating?
• What could your EPC rating mean for your monthly energy bills?
• Why your actual energy bill might be different
• How to improve your home's EPC rating
• New EPC regulations: What renters and landlords need to know
• Managing energy bills when moving home

Every home has an EPC rating. This grades the property’s energy efficiency from A (most efficient) to G (least efficient).

Your home’s EPC rating can make a big difference to your energy bills. In fact, more energy-efficient homes can cost hundreds of pounds less to run each year.

The English Housing Survey shows how much your EPC rating can affect running costs:

These figures are the latest available at the time of writing, and are useful for comparison, but they aren't what you should expect to pay today. Your actual bills will depend on your property, how much energy you use and current energy prices.

More than half of homes now have an EPC rating between A and C, compared with around a quarter a decade ago, showing that UK homes are becoming more energy efficient.

Ofgem lowered its Typical Domestic Consumption Values (TDCV) figures to estimate annual household gas and electricity usage in July 2026. However, this doesn't necessarily mean homes have become more energy efficient. Citizens Advice suggests that higher energy prices have led some households to reduce their usage to keep costs down.

For those on variable tariffs, the unit prices for electricity and gas, along with standing charges, are limited by the Energy Price Cap. This is updated every three months, so check our Energy Price Cap page for the latest figures.

An Energy Performance Certificate (EPC) assesses how energy efficient your home is, including its insulation, windows and heating system. It doesn't look at the appliances you use, such as your TV or kettle.

Generally, an EPC rating of A-C is considered good, with the government aiming for as many homes as possible to reach band C by 2030.

Your energy usage doesn't determine your EPC rating. An EPC looks at the energy efficiency of the property itself, including features such as its insulation, heating system and windows, rather than how the people living there use energy.

You'll usually need a valid EPC when a property is built, sold or rented, so it's worth checking the certificate before moving into a new home. In addition to its current rating, it can show you where there's room to improve the property's energy efficiency.

There can be a significant difference between energy bills by EPC rating.

Based on the English Housing Survey figures, A- to C-rated homes cost around £90 a month on average, compared with around £130 for band D. At the least efficient end of the scale, a band G home could cost around £222 a month.

Remember: these are only estimates. A one-bedroom flat will generally need less energy than a three-bedroom house with the same EPC rating, and how much you actually pay will also depend on your tariff and energy habits.

The Energy Price Cap is reviewed by Ofgem every three months and limits the unit rates and standing charges suppliers can charge customers on standard variable tariffs.

Your EPC gives you a useful estimate, but every household uses energy differently. How warm you keep your home, how long you have the heating on and how much hot water you use can all change your actual bill.

Government data shows that actual household energy use can differ from EPC estimates because every property and household is different.

Here's the difference between what an EPC looks at and what can affect your actual bill:

Alongside your EPC rating, you'll receive recommendations to make your property more energy-efficient, including the potential impact on your rating and energy costs.

There are some quick improvements you can make to improve your rating, while others require a much bigger investment.

🤝 Quick wins

• Switch to energy-efficient LED lighting
• Add or improve your loft insulation
• Fit thermostatic radiator valves (TRVs) to give you more control over your heating

⬆️ Major upgrades

• Add solid or cavity wall insulation
• Upgrade old windows to double or triple glazing
• Replace an older heating system with a more efficient option, such as a heat pump

The cost will depend on your home and the work it needs. English Housing Survey data suggest it could cost between £7,400 and £8,000 to bring a home up to EPC band C, although the actual cost depends on the property and the improvements needed.

That's a significant investment, so it's worth reviewing the recommendations in your EPC before deciding what to tackle first.

The government is proposing new rules that would require private rented homes to reach an EPC rating of C by 2030.

For renters, this could mean heating your home for cheaper. And for landlords, reaching band C could mean investing in improvements such as insulation, better windows or more efficient heating. While there's an upfront cost, a better EPC rating could make a property cheaper to run and more attractive to potential tenants.

With energy bills remaining a big part of household budgets, checking the EPC rating before you move in is a simple way to get an idea of how energy efficient a property is and what it could cost to run.

Tenants have much less control over bigger investments like windows and insulation, but there are ways to save energy and reduce costs in the meantime.

Moving into a more or less energy-efficient home can change how much energy you use, so you should check the EPC rating before you sign a tenancy agreement or buy a property.

This will give you a better idea of what your new home could cost to run, although remember there are always other factors to consider, like the size of your home and energy usage habits.

A monthly bill package can make the move simpler by combining your energy, water, broadband and TV into a Direct Debit payment.

You'll know exactly what you need to pay each month, making it easier to budget and cutting down the admin. Your monthly costs will be predictable with a fixed energy tariff, and even if you go for a rolling contract with a variable energy tariff, your finances will be simpler with one easy payment.

Get a quote to see how One Utility Bill can make managing the bills in your new home easier.