A SMETS2 smart meter is the second-generation smart meter used in Great Britain that sends meter readings automatically to any supplier over a shared national network. It keeps its smart functions when a household switches supplier, unlike the earlier SMETS1 design.
In one line: A SMETS2 smart meter is the second-generation smart meter that stays smart across supplier switches by using a shared national communications network.
How a SMETS2 smart meter works
SMETS2 meters connect through the Data Communications Company network, so any supplier can read them remotely. This ends the problem where earlier SMETS1 meters lost smart features after a switch and reverted to manual readings.
A household with a SMETS2 meter sends automatic readings, removing estimated bills. If it uses 250 kWh of electricity in a month at 25p per kWh, the bill reflects the exact 62.50 GBP used rather than an estimate.
The meter includes an in-home display showing usage in pounds and pence, helping households see consumption in near real time.
SMETS2 vs SMETS1
SMETS1 was the first-generation meter that often lost smart functionality on switching, while SMETS2 uses the shared network so it stays smart with any supplier.
Many SMETS1 meters have since been enrolled onto the same network to restore functions, but new installations are SMETS2.
Primary source: Ofgem: Smart meters