The UK government is consulting on a new regulatory framework for smart metering, aiming to:

Complete the domestic smart meter rollout by 31 December 2030 (100% coverage, subject to “all reasonable steps”).
Improve the operational performance of smart meters, especially reducing the number operating in “traditional mode” (i.e., not communicating remotely).
Ensure a smooth transition to 4G communications before 2G/3G networks are switched off by 2033.
Require annual deployment plans from suppliers to Ofgem, with binding milestones from 2027.

These measures are intended to support the Clean Power 2030 Mission, deliver consumer benefits, and underpin a flexible, decarbonised energy system.

Key Proposals

Obligations on Suppliers

100% Smart Meter Penetration by 2030: All suppliers must take all reasonable steps to install smart meters in every domestic property by the end of 2030.
90-Day Recovery Target: Suppliers must restore any smart meter operating in traditional mode to full smart operation within 90 days of becoming aware of the issue.
Pre-emptive Replacement: Suppliers must proactively replace smart meters or components (e.g., communications hubs) where the Data Communications Company (DCC) signals that WAN service will end (e.g., due to 2G/3G switch-off).
Annual Deployment Plans: From July 2026, suppliers must submit annual plans to Ofgem, detailing how they will meet installation and operational targets through to 2033. From 2027, annual milestones for new installations and pre-emptive replacements become binding.

Guaranteed Standards of Performance: Ofgem is consulting on standards that would require compensation for consumers if installation appointments are not offered within six weeks, or if meters are not restored to smart mode within 90 days.
Consumer Engagement: Continued national campaigns (Smart Energy GB), targeted support for harder-to-reach groups, and new guidance on consumer rights.
Focus on Vulnerable Groups: Special attention to prepayment customers, tenants, and those in the private rented sector, where uptake lags.

The 2030 obligation and deployment plan requirements do not apply to non-domestic meters, but operational improvements (e.g., 90-day recovery, pre-emptive replacement) do. Further consultation on non-domestic rollout is planned.

Net Present Value (NPV): The proposed framework is projected to deliver an NPV of £590m–£1,824m (2025 prices, discounted to 2026), depending on the level of smart meter coverage achieved (85–100% by 2030).
Benefits: Include customer energy/time savings, supplier operational savings, carbon and air quality improvements, network and demand-shifting benefits.
Costs: Mainly from equipment and installation, with a 10% optimism bias applied to account for uncertainties.
Household NPV: Estimated at £337m–£1,024m.
Business Impact: Monetised impacts on suppliers are -£74m to -£199m, mainly due to installation costs, but offset by operational savings.

Workforce: To achieve 90% coverage and 97% smart mode operation by 2033, an average of just under 5 million smart metering activities per year is required, needing about 6,500 FTE installers.
Flexibility: The framework allows suppliers to manage their own delivery profiles, but annual plans and Ofgem oversight are designed to prevent backloading and ensure steady progress.

Most suppliers are medium or large; micro and small suppliers are exempt from some requirements (e.g., deployment plans if below 20,000 meter points), but not from the core obligations.

Net Zero: The policy supports the UK’s 2050 Net Zero target and Clean Power by 2030 ambition.
Monitoring: The Department for Energy Security & Net Zero will monitor rollout progress, consumer experience, and report annually to Parliament.

Rollout Duty: New and replacement meters must be smart, with all reasonable steps to achieve 100% coverage by 2030.
Operational Requirements: Suppliers must maintain smart meters in smart mode, restore traditional mode meters within 90 days, and pre-emptively replace equipment as needed.
Deployment Plans: Suppliers (except very small ones) must submit annual plans to Ofgem, with binding milestones from 2027.
Reporting: Suppliers must publish milestones and progress on their websites, and Ofgem can require additional information or revisions.
Exemptions: Micro and small suppliers (below 20,000 meter points) are exempt from deployment plan requirements.

Statement of Availability: DCC must publish dates when communication services (e.g., for 2G/3G) will end, enabling suppliers to plan pre-emptive replacements.

Detailed definitions for “smart connection,” “HAN,” “WAN,” “SMETS1/2,” “deployment plan,” “annual milestone,” etc., are provided to ensure clarity and enforceability.

Consultation closes: 3 October 2025.
Stakeholder input: Sought on all aspects, including the legal drafting in Annex B, the analytical evidence, and the practicality of the proposed obligations.
Implementation: Subject to consultation feedback, the government will publish a response and proceed with licence amendments and regulatory changes.

Obligation	Who	When	Binding?
100% smart meter coverage (“all reasonable steps”)	All suppliers	By 31 Dec 2030	Yes
90-day recovery of traditional mode meters	All suppliers	Ongoing (from awareness)	Yes
Pre-emptive replacement for WAN end	All suppliers	As signalled by DCC	Yes
Annual deployment plans to Ofgem	Most suppliers	Annually from July 2026	Yes (from 2027)
Publish milestones and progress	Most suppliers	Annually from 2027	Yes
Exemption for very small suppliers	<20,000 meters	Ongoing	Yes

For Suppliers: Need to invest in workforce, systems, and consumer engagement to meet ambitious targets and avoid regulatory penalties.
For Consumers: Improved service standards, faster resolution of issues, and greater access to smart-enabled tariffs and services.
For the Sector: Regulatory certainty to support investment, with flexibility for suppliers but strong oversight to ensure delivery.