Scotland’s climate targets aren’t just for big cities and government buildings – they’re coming to a front door near you. By 2028, all private rented homes in Scotland must reach an EPC Band C rating. But 2026 is the year when things start getting serious.
For homeowners and landlords in Inverness – particularly in areas like Crown, Westhill, Dalneigh and Drummond – this means making smart upgrades to older homes now, before deadlines and demand collide.
In this guide, we’ll explore what the new energy regulations mean, the unique challenges of Highland properties, and how to plan improvements that increase energy efficiency and future-proof your investment.
What’s happening with EPC ratings in Scotland?
The Scottish Government has set out clear steps to reduce carbon emissions from homes. These include changes to the Energy Performance Certificate (EPC) system, which rates how energy-efficient a property is from A (most efficient) to G (least efficient).
By 2028:
- All private rented properties must achieve EPC Band C as a legal minimum
- New tenancies starting after 2026 may need to meet EPC C before a tenant moves in
- Owner-occupiers won’t have a legal deadline but will still be encouraged to upgrade
For Inverness landlords, that means 2026 is the year to act. Delaying upgrades could mean missing out on government funding – or worse, being unable to legally let your property.
The challenge of Highland homes
Inverness has some of the most characterful housing stock in Scotland. Think traditional stone-built homes, converted Victorian terraces, and rugged rural cottages.
Beautiful? Absolutely. Efficient? Not quite.
Properties in Crown, Merkinch and Westhill were often built long before energy regulations were considered – and insulating stone walls, single glazing and draughty chimneys make them particularly difficult to bring up to Band C.
But it can be done. And there’s support to help.
What is EPC Band C, and how do I get there?
EPC Band C represents a significant leap in energy performance. To reach it, most older Highland properties will need a mix of improvements, which might include:
- Upgrading insulation – loft, wall and floor insulation can have a major impact
- Replacing old boilers – high-efficiency gas boilers or heat pumps are key
- Improving windows – double or triple glazing is often essential
- Installing smart heating controls – modern systems allow more efficient use
- Switching to renewables – solar PV panels or air source heat pumps improve your rating
An EPC survey will give you tailored recommendations – including the current rating and estimated costs to improve it.
Energy efficiency grants in Scotland: What help is available?
One of the benefits of acting in 2026 is access to funding. Several energy efficiency grants in Scotland can help landlords and homeowners cover the cost of upgrades.
Available support includes:
Home Energy Scotland Grant and Loan
This offers up to:
- £7,500 in grants (up to £9,000 for rural areas like the Highlands)
- An additional £7,500 in interest-free loans
It can be used for:
- Insulation
- Heat pumps
- Solar panels
- High-performance glazing
- Battery storage systems
There’s a rural uplift specifically for the Highlands – making 2026 a prime year to take advantage.
Warmer Homes Scotland
This is aimed at lower-income households and offers fully-funded energy upgrades. While it’s primarily for owner-occupiers, it’s worth checking eligibility if you’re a resident landlord.
Highland property upgrades: Where to start
Before you install heat pumps or rip out your boiler, it’s important to take a phased, practical approach.
Step 1: Book an EPC assessment
Knowing your starting point is key. Belvoir Inverness can help arrange an accredited EPC assessor to evaluate your property and give you a full report.
Step 2: Prioritise insulation
For older properties, insulation gives you the most improvement per pound spent. Focus on:
- Roof and loft insulation
- Internal wall insulation (particularly in older stone homes)
- Floor insulation, especially suspended timber floors
Tip: Solid stone walls can’t be cavity-filled – so look for internal wall insulation systems designed for heritage homes.
Step 3: Assess heating systems
If you have an old gas boiler or electric storage heating, this could be pulling your EPC down. A newer condensing boiler, or better yet, a heat pump system, could dramatically improve your score.
Tip: Always check your property’s existing wiring and space requirements before installing modern heating.
Step 4: Consider renewable tech
Installing solar PV panels or a battery system can increase your EPC score while reducing your energy bills.
While solar isn’t always viable on older roofs, outbuildings or sheds may offer alternative spaces for panels.
Are heat pumps worth it in the Highlands?
Heat pumps are being widely promoted as a future-ready heating solution – but are they right for your Inverness property?
Pros:
- Very efficient in well-insulated homes
- Lower running costs over time
- Grants available to reduce upfront cost
- Improves your EPC rating significantly
Cons:
- High upfront installation costs (usually £7,000–£12,000)
- Requires outdoor space
- May not work well in poorly insulated or very old homes without upgrades
If you’re upgrading a rural or detached property in Drumnadrochit, Culloden or Milton of Leys, heat pumps are worth exploring but make sure insulation comes first.
EPC rating and rental standards in Inverness
If you’re a landlord, the stakes are higher. Letting a property that doesn’t meet EPC Band C in 2028 could become illegal – and new lets from 2026 may already be subject to the rule.
What this means:
- You may need to upgrade before renewing a tenancy
- Failing to comply could result in enforcement action or fines
- Non-compliant properties may struggle to attract tenants
But here’s the good news: energy-efficient homes are now more in demand than ever.
Tenants increasingly look for properties with:
- Lower energy bills
- Smart thermostats
- Good insulation
- Eco-conscious features like EV charging or solar
By upgrading now, you’re protecting your rental income and likely increasing your property’s market value.
How EPC upgrades can boost value and appeal
It’s not just about ticking a legal box.
Improving your EPC rating:
- Increases property resale value
- Improves mortgage eligibility for buyers
- Future-proofs your investment for upcoming regulations
- Reduces long-term maintenance costs
- Attracts eco-conscious tenants willing to pay more
A 2025 report from the Scottish Government found that homes rated EPC C or above sold on average 7% faster than those rated D or below.
In a competitive Inverness market, that’s a real advantage.
Belvoir Inverness: Local insight, personal service
Navigating energy regulations can feel overwhelming but you’re not alone. At Belvoir Inverness, we work with:
- Homeowners planning long-term improvements
- Landlords looking to meet EPC rules ahead of time
- Buyers and sellers who want accurate EPC advice before making a move
We can help you:
- Arrange EPC assessments
- Identify funding opportunities
- Prioritise cost-effective upgrades
- Connect with trusted local contractors
We know that property is personal and so is your energy journey.
Book a free property consultation
Final word: Don’t wait for 2028
Scotland’s path to net zero is moving quickly and 2026 is the action year.
Whether you’re living in a charming Victorian flat in Crown or managing a buy-to-let in Westhill, now’s the time to get ahead:
- Start with an EPC review
- Use available grants to reduce your costs
- Focus on insulation and heating first
- Plan upgrades that improve both energy and property value
The regulations are coming but they’re also an opportunity.
Ready to future-proof your property? Let’s talk.
