New smart meter compensation rules to start in February
Energy regulator Ofgem has confirmed tougher rules for smart meters will take effect from February 2026, triggering automatic £40 compensation for customers facing long delays or failed appointments.
Under the new Guaranteed Standards of Performance, customers will receive a £40 payment if they wait more than six weeks for a smart meter installation, if an installation appointment fails due to a fault within the supplier’s control, or if a supplier fails to provide a resolution plan within five working days after a problem is reported.
The changes follow a review launched by the regulator last year into service standards for smart meters, after concerns about long waits and non-operational devices.
Ofgem said its compliance work since 2024 has already resulted in more than 900,000 previously non-operating smart meters being repaired or replaced, with that figure continuing to rise.
Melissa Giordano, deputy director of systems and processes at Ofgem, said the new standards were designed to improve customer experience and supplier performance.
She said: “Smart meters offer customers accurate bills, cheaper tariffs, and real-time energy use tracking.
“Every customer who wants a smart meter should get one quickly, and it should work from day one.
These new rules will set clear expectations of suppliers, drive better performance, and protect consumers when things go wrong.”
According to the latest government figures, more than 70 per cent of homes in Britain now have a smart or advanced meter installed, and over 90 per cent of those are operating correctly.
Ofgem said the new standards would further incentivise suppliers to carry out installations and repairs promptly, or face compensation payments when they fail to meet minimum service levels.
The regulator also confirmed it will continue work on a further standard covering compensation when smart meters remain out of smart mode for more than 90 days, with the aim of introducing that later in 2026 following additional consultation.
The updated Guaranteed Standards will apply from February 2026 and will be reviewed in early 2027 to assess whether they are delivering improved outcomes for consumers.
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