By RACHEL RICKARD STRAUS

Updated: 23:03 GMT, 27 March 2025

Households with broken smart meters will automatically receive £40 compensation from their energy provider if it is not fixed within 90 days, under new proposals from the regulator Ofgem.

They will also receive a payout if a smart meter installation fails due to a fault within their provider’s control.

Three quarters of all households in the UK should have a smart meter by the end of the year as part of a nationwide rollout. 

They are designed to tell you how much energy you have used in real time – and report it directly to your provider so you do not have to do meter readings.

But the rollout has been riddled with issues and delays.

Damning official figures reveal that as many as 3.5 million smart meters are currently operating in ‘dumb’ mode because they have lost their ability to send energy usage information.

If your smart meter goes dumb and isn't fixed swiftly, you can now get compensation

If your smart meter goes dumb and isn’t fixed swiftly, you can now get compensation

Households frequently wait for weeks for their smart meter to be fixed by their energy provider after they report it broken.

As many as 1.4 million households have waited six months or longer, according to research by comparison firm Uswitch in November.

Today Ofgem is setting out new rules to boost standards and compensation.

Households who request a new meter from their supplier will have to be offered one within six weeks, under the proposals.

And if a customer reports a problem with their smart meter, their supplier will have to provide a resolution plan within five working days.

Tim Jarvis, director general for markets at Ofgem, said: ‘We’re drawing the line on excuses – suppliers will need to follow our new rules or compensate their customers.’

He added: ‘We know that many customers are still waiting too long to get a smart meter installed or facing lengthy delays on repairs when it stops working.

‘That’s why we’re stepping in to make the process quicker and easier for consumers and to make sure they’re fairly compensated if things do go wrong.’

Energy suppliers are already required to make automatic £40 payments to customers if they fail them in other ways, as part of Guaranteed Standards of Performance introduced by Ofgem. 

These include making and keeping appointments, fixing faults with prepayment meters and switching supplier within five working days.

If the proposed smart meter rules go ahead, they will form part of the Guaranteed Standards.

Have you been failed by your energy supplier and not received compensation? editor@thisismoney.co.uk

SAVE MONEY, MAKE MONEY

Up to £3,000 on new accounts and transfers

Isa cashback

Up to £3,000 on new accounts and transfers

Isa cashback

Up to £3,000 on new accounts and transfers

Check price cap beating deals with uSwitch

Fix energy bills

Check price cap beating deals with uSwitch

Fix energy bills

Check price cap beating deals with uSwitch

Free share and ETF dealing, no account fee

Fee-free Isa investing

Free share and ETF dealing, no account fee

Fee-free Isa investing

Free share and ETF dealing, no account fee

Flexible cash Isa with unlimited withdrawals

4.85% cash Isa

Flexible cash Isa with unlimited withdrawals

4.85% cash Isa

Flexible cash Isa with unlimited withdrawals

Up to £3,000 when you open a Sipp by 5 April

Sipp cashback

Up to £3,000 when you open a Sipp by 5 April

Sipp cashback

Up to £3,000 when you open a Sipp by 5 April

Affiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence. Terms and conditions apply on all offers.

:
Got a broken smart meter? You can now get £40 if it’s not fixed in 90 days

***
Read more at DailyMail.co.uk