UK smart meters guide 2026: how they work, your rights and the rollout

Bills

Smart meters replace traditional gas and electricity meters with digital devices that automatically transmit readings to your energy supplier via a secure national network. They also come with an in-home display (IHD) that shows your near-real-time energy use and estimated daily cost. The UK government has mandated that all energy suppliers offer smart meters to all customers, with the rollout managed by DESNZ (the Department for Energy Security and Net Zero).

By the end of 2025, approximately 63 percent of UK energy meters were smart or advanced meters according to DESNZ statistics. This guide covers how the technology works, the difference between first-generation (SMETS1) and second-generation (SMETS2) meters, your legal right to refuse installation, data privacy settings, and what happens when you switch supplier.

How smart meters work: SMETS1 versus SMETS2

First-generation SMETS1 meters were rolled out from around 2012 and communicated directly with the installing supplier's network rather than a central national infrastructure. When a SMETS1 customer switched energy supplier, the meter often reverted to "dumb" mode, requiring manual readings again. Second-generation SMETS2 meters communicate through the Data Communications Company's secure national Wide Area Network (WAN) and retain smart functionality regardless of which supplier you are with. Most suppliers have now enrolled existing SMETS1 meters in the DCC network via a remote firmware update, restoring smart functionality retrospectively - though not all SMETS1 meters are compatible.

Your right to refuse a smart meter

Suppliers are required to offer all customers a smart meter but cannot compel installation. The Smart Energy Code and Ofgem's licence conditions prohibit suppliers from discriminating against customers who decline installation - for example, by denying access to certain tariffs solely on the basis of refusal (though some time-of-use tariffs do require a smart meter to function). If you prefer to keep a traditional meter, you can decline any appointment offer without penalty. You can also accept installation and later request that data sharing be limited to the minimum required for billing purposes.

Data privacy: what is collected and who can access it

Smart meters collect consumption data at 30-minute intervals by default. This data is transmitted securely via the DCC to your energy supplier for billing and is protected by UK GDPR. You can instruct your supplier to reduce the granularity of data shared: daily readings are sufficient for accurate billing; monthly readings are the minimum. Half-hourly data enables time-of-use tariffs and demand management services, but is not required for standard billing. Third parties such as energy comparison services or in-home display app providers can only access your data with your explicit consent. The Smart Meter Data Privacy Framework, maintained by DESNZ, sets out the full data access rules.

Switching supplier with a smart meter

With a SMETS2 meter, switching supplier is straightforward: your meter continues to send automatic readings to the new supplier via the DCC network once the switch completes. With an enrolled SMETS1 meter, smart functionality should also be maintained, though it is worth confirming with the new supplier before switching. If your SMETS1 meter is not DCC-enrolled and smart functions are lost after switching, submit manual readings to the new supplier as you would with a traditional meter. Suppliers are working through the backlog of non-enrolled SMETS1 meters; DESNZ publishes quarterly statistics on enrolment progress.

Using smart meter data to reduce your energy bill

The in-home display allows you to see which appliances and activities drive your highest consumption. Running high-load appliances - washing machines, dishwashers, tumble dryers - during off-peak periods can reduce costs if you are on a time-of-use tariff such as Octopus Energy's Agile tariff or British Gas's PeakSave scheme. Even on a standard variable tariff, the in-home display can identify standby drain and heating inefficiencies that, once addressed, reduce consumption. DESNZ estimates that smart meter households reduce electricity use by approximately 3 percent and gas use by approximately 2.2 percent on average compared with non-smart households, based on analysis published in 2024.

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Frequently asked questions

Can my supplier charge me extra if I refuse a smart meter?

No. Ofgem's licence conditions and the Smart Energy Code prohibit suppliers from imposing charges or penalising customers who decline a smart meter installation. Some tariffs - particularly time-of-use and demand-response products - require a smart meter to operate, but standard variable and fixed tariffs must remain available to non-smart meter customers.

What happens to my in-home display if I switch supplier?

With a SMETS2 meter, your in-home display should continue to work after switching, as it connects via the DCC network rather than your specific supplier. New suppliers can pair with your existing IHD once the switch completes. In some cases there is a short period after switching where the IHD shows no data while the new supplier establishes the connection.

Are smart meters safe?

Smart meters use low-power radio frequency communications to transmit data. DESNZ and Public Health England (now UKHSA) have reviewed the evidence and found no risk to health from smart meter radio frequency emissions at the levels produced by the devices. The signals are well within international safety guidelines established by the International Commission on Non-Ionizing Radiation Protection.

My smart meter has lost connection. What should I do?

Smart meters can temporarily lose connection with the DCC network due to infrastructure maintenance or signal issues. If your meter has been in dumb mode for more than a few days, contact your supplier. They can check network connectivity remotely and arrange a visit if required. During any period of lost connectivity, submit manual readings to ensure accurate billing.

Can I request a smart meter if my supplier has not offered one?

Yes. Contact your supplier and request installation. Suppliers are under Ofgem licence obligations to take all reasonable steps to offer smart meters to all customers. If your supplier has a long waiting list, you can request to be added and they should contact you when an appointment is available in your area.

How we verified this guide

Smart meter rollout statistics were drawn from DESNZ's Q4 2025 Smart Meter Statistics publication. Technical details on SMETS1 versus SMETS2 were verified against the Smart Energy Code and DCC technical documentation. Data privacy rules were cross-referenced with the Smart Meter Data Privacy Framework. Right-to-refuse provisions were confirmed against Ofgem's licence condition references. This guide was compiled in May 2026.

Primary sources

• gov.uk - Smart meters: how they work
• DESNZ - Smart Meter Statistics Q4 2025
• Ofgem - Smart meters consumer information
• Smart Energy Code Company - Code documentation

Last reviewed: May 2026.