SLE welcomes new approach to Heat in Buildings Bill - but urgent clarity needed for rented sector

Press Release
3 Apr 2025

Changes to the Heat in Buildings Bill announced today by the Scottish Government have been welcomed by Scottish Land & Estates.

The rural organisation said the new approach, announced at Holyrood by Acting Minister for Climate Action Dr Alasdair Allan, showed increased recognition of the unique challenges faced by rural and island communities in transitioning to zero-emission heating systems. 

Whilst the Scottish Government said it would continue to pursue a move away from carbon-emitting heating systems by 2045, the focus would now be on supporting change through government targets rather than penalising individuals and property owners. Dr Allan also said the Bill would boost the development of heat networks, and take a technology-neutral approach, thereby allowing the use of bioenergy.

However, SLE urged the government to provide certainty over the Minister’s statement that all rented property “as far as possible” would need to meet the equivalent of EPC C and that such regulations are to be progressed under "existing powers."

Anna Gardiner, Policy Adviser (Rural Property) at Scottish Land & Estates, said:

"We are pleased to see a more balanced approach to heating regulations, one that acknowledges the significant differences between urban and rural Scotland.

“Rural communities face distinct challenges, from infrastructure limitations to higher upfront costs, and it is positive to see these factors being acknowledged in policymaking.

"People in rural and island areas experience significantly higher rates of fuel poverty than those in more accessible regions. By moving to the carrot rather than the stick, the Minister has demonstrated a willingness to work with communities to find realistic and effective solutions.

“The emphasis on heat networks and bioenergy is also a step in the right direction. Encouraging investment in these technologies will be vital to ensuring that rural and island communities can access sustainable heating solutions that are both effective and affordable.

"We do, however, hold real concerns regarding the vagueness of approach on rental properties meeting EPC C.

"While we support the ambition to improve energy efficiency in the rental sector, we need clear guidance and support mechanisms to ensure that property owners can meet these targets in a fair and practical way. 

"There also needs to proper scrutiny by parliament and consultation with the sector over any such proposal, rather than using existing powers to introduce new requirements via the back door. Certainty over what is required will be essential to achieving compliance without unintended consequences for rural housing supply."