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New-build buyers could save up to £444 a year on energy bills, says Yopa

Yopa found that the average annual energy bill for a new-build home with an Energy Performance Certificate (EPC) rating of A or B is estimated at £1,469.

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Homebuyers purchasing a new-build property could save up to £444 a year on energy bills compared to buyers of older homes as energy prices continue to rise, according to research from Yopa.

The estate agency analysed Home Builders Federation (HBF) data comparing energy costs between new-build and existing homes and found that newer properties continue to benefit from stronger energy efficiency standards.

Yopa said the current energy price cap stands at £1,641 for a typical household, while the average annual energy bill for a new-build home with an Energy Performance Certificate (EPC) rating of A or B is estimated at £1,469.

In comparison, existing homes, which more commonly hold EPC ratings around D, face average annual energy costs of £1,862.

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Based on current figures, Yopa estimated buyers purchasing a new-build property could save around £393 a year on energy bills.

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The firm also highlighted forecasts suggesting the energy price cap could rise to £1,854 in Q3 2026.

Under those projections, average annual bills for new-build homes would increase to £1,660, while existing properties could face average yearly energy costs of £2,104.

Yopa said this would increase the potential annual saving for new-build buyers to around £444.

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The agency added that continued geopolitical instability and wider economic pressures could keep energy prices elevated into 2027, further increasing the financial benefits associated with more energy-efficient homes.

Verona Frankish, chief executive officer at Yopa, said: “While new-build homes often come with a higher purchase price compared to older properties, buyers are increasingly recognising that the long-term running costs can help offset that initial premium.

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“With energy prices continuing to rise, efficiency is becoming just as important as location or square footage when it comes to choosing a home.

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“For many buyers, particularly first-time purchasers already stretching affordability, the difference between paying, for example, £1,600 a year on energy bills versus more than £2,000 can have a very real impact on monthly finances.

“And because the energy price cap only limits the unit cost suppliers can charge, not the total amount households pay, living in a more energy-efficient property can make a substantial difference over time.”

Frankish added: “As a result, buyers might consider looking beyond the headline asking price and pay close attention to a property’s EPC rating, insulation quality, heating system, and overall energy performance before making a purchase decision.

“An older home may appear better value initially, but if it requires costly upgrades or carries significantly higher running costs, the long-term financial picture can look very different.”

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