Households experiencing delays or failed installations of smart meters will now be entitled to £40 in compensation under recently implemented regulations starting today. Qualifying circumstances include waiting more than six weeks for a smart meter appointment, as well as instances where installation appointments fail due to supplier-controlled faults or when a supplier fails to provide a resolution plan within five working days of a reported issue.
These new rules, effective as of February 23, aim to facilitate the ongoing deployment of smart meters to residences throughout the UK. Currently, over 70% of households in the UK have smart meters or advanced metering systems, as per government data. Notably, more than 900,000 non-operational smart meters have been repaired or replaced since 2024, according to the regulator.
Melissa Giordano, Ofgem’s deputy director of systems and processes, emphasized the benefits of smart meters in offering accurate billing, cost-effective tariffs, and real-time monitoring of energy consumption. She stressed the importance of timely and functional smart meter installations, highlighting that these regulations will enhance supplier accountability, improve performance, and safeguard consumer interests during operational setbacks.
Meanwhile, energy bills are anticipated to decrease this spring, with Cornwall Insight projecting a reduction in Ofgem’s price cap from £1,758 annually to £1,641 for a typical dual fuel household. Ofgem is set to announce its next price cap on February 25, covering the period from April 1 to June 30. Consumers on standard variable rate (SVR) tariffs will be protected by the price cap unless they are under fixed-rate contracts.
It’s important to note that while the price cap limits charges for gas and electricity units, as well as standing charges for network connection, there is no overall cap on total energy costs, as bills are based on actual usage. The price cap figure indicates the expected annual expenditure for an average energy consumer.