5 Simple Ways to Save Money on Your HMO Utility Bills

In a recent announcement from the government, Prime Minister; Rishi Sunak has now pledged to scrap policies that would force landlords to upgrade energy efficiency in their investment properties by 2025; meaning new tenancies would only be possible on properties with an Energy Performance Certificate (EPC) of C or higher.

Whilst loosening this financial pressure had been a welcome relief for some, the rising cost of utilities is a big concern for many HMO Landlords, especially those running a bills-inclusive model. Utility bills can take up a considerable portion of your monthly income, and tenants renting a bills-inclusive room are not always motivated to be energy aware, so even small changes to lower those bills can make a big difference.

Making your HMO property as energy efficient as it can be should still remain a priority; not only for the financial impact it would have your bottom end, but also the wider impact on the climate. We’ve compiled a list of simple, easy ways to help you take control of your utility bills and create a more energy-efficient living environment. Let’s get started on the path to saving money and making a positive impact on the environment!

Turn Down the Flow Temperature of Your Boiler

Adjusting the flow temperature of your boiler is a simple yet effective way to save energy and reduce your utility bills. By lowering the flow temperature by just a few degrees, you can achieve energy savings from 8% to 13% according to the Energy Saving Trust.

To do this, boiler controls can be adjusted using either dials or buttons, in combination with digital displays.

• If you have a conventional boiler with a hot water cylinder, then there will be just one dial or setting to adjust.

• If you have a combi boiler with no hot water cylinder, then there will be two dials or settings: one for the radiators and one for the hot water. You need to adjust the one with a picture of a radiator next to it, not the one with a picture of a tap, which is for your hot water. It’s important to find the right balance between comfort and energy efficiency. By making this small adjustment, you can enjoy potential energy and cost savings over time

Before making any adjustments, take a photo or make a note of how everything’s set. That way you can remember what to turn it back to if you need to do so later on.

Install a Programmable Thermostat

A programmable thermostat is your best friend when it comes to regulating your home’s temperature and saving money on utility bills. These smart devices allow you to set specific temperature schedules for different times of the day, ensuring your heating or cooling system operates efficiently when needed. There are various types of programmable thermostats available in the market that are HMO-specific, ranging from simple to more advanced models with customisable features from companies like Time:o:stat, Inspire Home Automation and Genius Hub.

Take the time to choose one that suits your needs and follow the manufacturer’s instructions to install and program it properly. By using a programmable thermostat, you can optimise your energy savings and have a comfortable living space for your tenants.

Switch Light Bulbs to LEDs

Did you know that switching your traditional halogen bulbs to energy-efficient LED bulbs could save a whopping £232 a year by making the switch according to new research from comparethemarket.com? LED bulbs consume less energy, last longer, and produce less heat compared to traditional bulbs.

When selecting LED bulbs, consider factors such as colour temperature, lumens, and wattage equivalents to ensure the right fit for your lighting needs. To make the switch, simply replace your existing bulbs with LEDs throughout your home. While the upfront cost of LED bulbs may be slightly higher, the long-term cost savings and extended lifespan make it a worthwhile investment.

Use Energy-Efficient Appliances

Replacing your old appliances with energy-efficient models is another effective way to save money on your utility bills. Energy-efficient appliances are designed to use less energy while still providing the same level of performance.

When purchasing new appliances, look for the ENERGY STAR label, which indicates that the product meets certain energy efficiency standards. Consider factors such as size, features, and energy ratings to find appliances that are tailored to your needs.

Don’t forget, education is key. Make sure you cover how to use the machines when a tenant moves in, this will help them ensure that they are using the right programs for what they need and don’t end up putting a single shirt on a 3-hour boil wash!

Insulate Your Home

Out of all our tips, this one will seem like the most obvious and certainly cost the most. Proper insulation plays a vital role in minimising energy loss and maximising energy efficiency in your HMO. A quarter of heat is lost through the roof in an uninsulated home. Insulating areas such as walls, attics, and windows, can prevent heat from escaping during the winter and keep cool air inside during the summer. According to the Energy Saving Trust; Installed correctly, loft insulation should pay for itself many times over in its 40-year lifetime.

Identify areas in your HMO that may require insulation and explore different methods and materials to improve insulation. If these areas are easy to access and have no damp or condensation problems, they should be easy to insulate – and in many cases, it is possible to do it yourself. However, we would also recommend seeking the advice of a trained and qualified professional.

By ensuring your HMO is well-insulated, your tenants can enjoy a more comfortable living environment and you can achieve substantial energy savings, ultimately leading to lower utility costs.

Saving money and being environmentally conscious should go hand in hand. While making changes to a property will likely result in some upfront costs, those costs will be more than offset by the savings that result over the long term. So why not take a look at these tips, pick a few things that you feel comfortable doing, and get started? If you need help in reducing your HMO energy consumption, why not book a FREE property health check with our expert HMO Management Team