Government tells landlords: Pass on energy rebate to ...

The government has repeated its demand that landlords pass on energy rebates to tenants.

A written parliamentary question on this issue was submitted by Scottish National Party MP Owen Thompson.

He wanted to know whether the government expected landlords who include tenants' energy costs in their rental charges to pass on the rebate, and whether the government would provide a means of redress for tenants in case that credit is not passed on to them.

About 20m households in council tax bands A to D – including an estimated 95 per cent of rented properties – will receive £150 rebates under the government’s £3 billion council tax scheme.

However, some tenants in HMOs make a once-a-month all-inclusive payment to their landlords covering - amongst other things - council tax.

Energy minister Greg Hands replied: “Landlords who have a domestic electricity contract with an electricity supplier and resell the electricity to their tenants based on energy usage may be required to comply with the maximum resale price rules.

“The MRP for electricity is currently set as the same price as that paid by the person reselling it.

“Under these circumstances, the Government expect landlords to pass on the discount received through tenants.

“Landlords with a domestic electricity connection who charge ‘all inclusive’ rent, where a fixed cost for energy costs are included in their rental charges, are strongly encouraged to pass on the discount to their tenants.”

Hands appears to have ignored the element of the question relating to redress.

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