New rules came into effect on Monday 23rd February 2026, enforcing that energy suppliers must now pay automatic compensation if they fail to meet standards around smart meter installations and repairs.
If you’re looking to upgrade your meter or fix a faulty one, these changes provide extra protection.
When am I eligible for compensation?
For new issues arising on or after 23rd February 2026, your supplier must automatically pay you £40 per issue if the following issues arise:
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If you have to wait more than six weeks for an appointment to have a new smart meter installed. (This applies to first-time installs, not repairs)
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If an installation fails due to a fault within the supplier’s control, such as the engineer not having the right tools, skills, or safety equipment.
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If you report an issue with your meter or In-Home Display (IHD) and the supplier fails to provide a plan for fixing your issue within five working days.
How do I get paid?
Compensation is automatic. If your supplier owes you money:
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They must pay it within 10 working days.
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The payment will be made either as a credit to your energy account or directly into your bank account.
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If they miss the 10-day deadline, they must pay you an extra £40 on top of the original amount.
You are not eligible for compensation if the issue started before 23rd February 2026, or if your energy supplier has gone out of business.
What if my meter isn’t sending readings?
Currently, the new rules do not cover traditional non-smart meters. They also do not cover smart-meters who do not send regular meter readings, Ofgem intend to look at including these issues in these guidelines at a later date.
What should I do if I haven’t received a payment?
If you believe you are due compensation you should take the following steps:
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Contact your supplier letting them know you have had a problem and reference Ofgem’s Guaranteed Standards of Performance.
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Raise a formal complaint: If the supplier disagrees, follow their official complaints procedure.
You can read our guide on dealing with problems with your energy supplier for more tips.
Get Advice
Cosy Kingdom provides free and impartial energy advice to anyone living in Fife. If you are having trouble with your smart meter or need help communicating with your supplier, our team is here to help.
Our energy advisors can be contacted by:
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Calling: 01592 807930
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Texting: COSY followed by YOUR NAME to 88440
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Emailing: info@cosykingdom.org.uk