DO YOU REQUIRE AN ELECTRICAL REPORT?
Landlords are potentially exposing themselves to significant financial risks. By not carrying out an electrical safety report they run the risk of fines and invalidated insurance. We accept it is not yet required by Law. However, we understand from the Government that this will be included in the next Housing Bill in 2019.
What most landlords don’t realise is that they have a responsibility to ensure that the electricity in their properties is safe in any event. Landlords need to ensure all electrical installations in the property are in a safe condition before the tenancy. They must then stay that way throughout the duration of the tenancy. Any appliances provided to tenants must be safe. This includes cookers, kettles and toasters. An Electrical condition report should be carried out every five years by a qualified electrician. It is not yet a legal requirement, but it is important that you take your responsibilities seriously.
The Government has confirmed an extension to mandatory licencing that comes in from the 1st October 2018. This applies to all houses in multiple occupancy as defined in the Housing Act 2014. This means that some electrical obligations are now the responsibility of the landlord. Each local authority will have their own licencing specifications. However, there is now regulation for the whole of the country. Stating that if you fall within this bracket you have an electrical report carried out.
The Ministry of Housing Communities have announced a new ruling on EICRs. They along with the Local Government have made it mandatory to complete electrical installation checks every five years. The new rules will roll out in stages throughout the UK. Please read our previous article on Mandatory EICR’s and Pat Testing.
They are yet to clarify when it will become law. The intention is for it to pass as soon as parliament allows. Letting agents and landlords will have at least six months to put in writing the legislation before it comes into force.
It looks as though a transitional period will apply for two years. In year one, all new private tenancies will be affected and in year two all existing tenancies will come within the scope.
Properties that have a valid EICR will not need to replace it until the five years have passed.
Agents must ensure that inspectors hired to issue EICRs hold the current qualifications and are competent to carry out the inspection. Tough financial penalties will apply where this isn’t complied with.
This is going to impact landlords almost immediately. It will be important in future that landlords are aware of their liabilities. It would be advisable to carry out the electrical reports in advance. We suspect that prices will go up dramatically over the next few months from electricians as they will see it as an opportunity. It is in the landlord’s interest to run timely EICRs and PAT tests.
It can be difficult as a landlord, often having to pay out money just to maintain they’re property. Then having to do electrical reports as well. However, it is so important to comply with the legal requirements. We would highly recommend that an EICR is carried out every five years to ensure that it is up to date and there are no further requirements. We have found in the past that landlords have not done this even though they know it is a legal requirement. This has then led to claims not paid out by insurance companies because they are non-compliant. It is so important to carry these reports out but please do not hesitate to contact us. The administration team are on (01273) 749169 to discuss.
Our sister company iInsure 365 have recently written an article on Useful tops for property care and maintenance follow the link to read more – https://iinsure365.co.uk/useful-tips-for-property-care-and-maintenance-part-1/