An EPC certificate tells you how energy efficient your property is, just like the multi-coloured stickers you see on new domestic appliances tell you how energy efficient the appliance is. The ratings vary from "G", the most inefficient rating indicated with a red colour, and all the way up to "A", meaning very efficient and shown as dark green.

The purpose of the EPC certificate is to give you an indication of how much it will cost you to heat and light the property, and how much CO2 the property emits.

An EPC certificate tells buyers or renters what changes they can make to improve the efficiency of the property to reduce their bills. This could include everything from adding insulation to switching to energy-saving light bulbs.

The idea behind an EPC is both to inform you of what you can do to improve the energy efficiency of your property, and hence save money, and also to show how attractive the property is from an energy perspective for potential buyers.

The better the rating the lower the cost of running the property.

The Minimum Energy Efficiency Standard (MEES) came into force on 1st April 2018 and set new energy efficiency regulations for private rented properties throughout the UK. It is designed to highlight low standards of energy efficiency in properties in a bid to get landlords to take measures to raise them.

With the MEES in force, the lowest rating a privately rented property is allowed to achieve is an “E” - anything rated at “F” or “G” is not allowed to be rented out.

The landlord will be required to make these improvements bring a property’s rating up to “E” to a maximum of £3,500. If the property cannot be improved to that point without spending more than £3,500, they will be able to apply for an exemption.

As well as telling you what measures to undertake, new EPC certificates give far more detail on the potential cost of upgrading your heating, lighting and water.

It also tells you the savings you can make on your bills after you’ve made the upgrades, to give you a cost comparison.

You’ll also be able to see the total savings you could make on your property and the EPC rating you’ll receive after the upgrades.

Additionally, the MEES is good news for tenants because it should see energy costs become lower in the long run. With better insulation, more energy-efficient lighting and other measures taken to improve the energy efficiency of the property, you should end up paying less in energy costs. However, you should still ensure that you're switching your supplier whenever you feel as though you may be paying too much for your gas and electricity.

If you are looking to sell or rent your property then you absolutely need an EPC certificate. The only exceptions are specialised buildings, such as churches, temporary buildings and listed properties.

For the full list of exempt building see the government’s dedicated EPC site.

However, even if you’re not intending on selling your property, getting an EPC certificate is a cheap and quick way to assess the energy-saving potential of your property.

Bear in mind that a lot of newer properties may already have an EPC certificate, and may also be very energy efficient.

Prospective landlords looking to rent their property must also have an EPC available for tenants to view. If they fail to produce one, they could face a fine.

The only other situation where you need an EPC certificate is if you are looking to receive payments under the Feed-in Tariff scheme for solar panels. Your property must have an EPC rating of ‘D’ or higher to be eligible for Feed-in Tariff payments at the standard rate.

It's in your interests, whether selling or buying, to lower the EPC rating of your property as much as possible, and the only way to do that is to improve the energy-efficiency of your home.

Simple steps like ensuring you have adequate loft insulation installed, investigating whether cavity-wall insulation is suitable for your property, and installing draught-proofing measures around doors, windows, fireplaces and letterboxes, should be your first steps. Read more in our simple guide to home insulation.