How do SMETS2 smart meters differ from SMETS1, and how exactly do they compare regarding functionality?

A smart meter gives you real control over your home’s energy use. It lets you see how much energy you use in real time, eliminate surprise bills, and even spot appliances quietly draining your wallet. It’s the foundation of a smarter, more energy-efficient home and is free to install through your energy supplier.

However, not all smart meters are created equal.

SMETS1 meters are the first generation of smart technology and usually operate in ‘traditional mode.’ SMETS2 meters are the second generation and are more advanced.

Statistics show that at the end of March 2025, 91% of all smart meters across Great Britain were SMETS2 operating in smart mode, while the remainder were SMETS1 operating in traditional mode.

SMETS2 smart meters are now the standard across the UK, and they’re a key part of the government’s plan to modernise the energy grid.

This guide breaks down the differences between SMETS1 and SMETS2, explains why the newer version matters, and helps you understand how a smart meter can save money, improve energy habits, and future-proof your home.

Quick Takeaways on SMETS2 Smart Meters VS SMETS1:

• SMETS2 meters stay smart when you switch suppliers — SMETS1 often don’t.
• SMETS2 uses a secure national network (DCC) and can work with all major UK energy providers.
• SMETS2 meters are free to install through your energy supplier and come with a real-time In-Home Display.
• SMETS1 meters can sometimes be remotely upgraded to SMETS2 standards or replaced.
• SMETS2 meters are future-ready, supporting smart tariffs, EV integration, and more accurate billing.

What Is a Smart Meter and How Does It Work?

A smart meter is a digital gas or electricity meter that automatically records energy use and sends the data to your supplier without manual readings. It shows you exactly how much energy you’re using, when you’re using it, and how much it’s costing you in real time via an In-Home Display (IHD).

Smart meters work using two key systems:

• The meter itself measures your electricity or gas usage.
• The communications system sends your usage data securely to your supplier via the Wide Area Network (WAN) and communicates with your IHD via the Home Area Network (HAN).

This means:

• You can track energy use by the hour, day, or month.
• Your bills are always based on actual usage, not estimates.
• Energy suppliers can spot problems faster and even upgrade some systems remotely.

For homeowners, smart meters offer far more than convenience. They help you:

• Identify energy-hungry habits
• Make small changes that lower your bills
• Take advantage of off-peak tariffs or time-of-use pricing
• Keep a closer eye on household spending

Installing gas and electricity smart meters was one of the initiatives launched by the Department of Energy and Climate Change (DECC) to help increase household energy efficiency so consumers can save money on their energy bills. In 2025, smart meters are vital for cutting costs, reducing carbon emissions, and contributing to a smarter national energy grid.

What Does SMETS Stand For?

SMETS stands for Smart Metering Equipment Technical Specifications. It’s the official UK government standard for smart meters, ensuring all devices meet strict functionality, security, and interoperability criteria.

There are two main generations currently in use:

• SMETS1 — Version 1, the first-generation smart meters, rolled out between 2013 and 2018.
• SMETS2 — Version 2, the second-generation smart meters, were introduced in 2018 and are now the UK standard.

Smart meter policy and connectivity are led by the Department of Energy Security and Net Zero (DESNZ) and regulated by the Office of Gas and Electricity Markets (Ofgem). They determine:

• How the smart meter collects and sends data
• What kind of network it uses to communicate with energy suppliers
• How securely the data is transmitted
• How compatible the meter is across suppliers and tariffs

In short, SMETS isn’t a brand; it’s a government-backed quality standard. SMETS2 meters meet updated requirements that fix many of the issues experienced with early smart meters, particularly around supplier switching and long-term functionality.

SMETS1 vs SMETS2 Smart Meters: What’s the Difference?

While SMETS1 and SMETS2 are smart meters designed to track and send your energy usage to your supplier automatically, the difference between the two generations is bigger than you might think, especially regarding reliability, compatibility, and long-term performance.

Here’s how they stack up:

1. Network Compatibility

• SMETS1 meters only communicate with the supplier who installed them. If you switched suppliers, many SMETS1 meters stopped working smartly—they defaulted to traditional mode, meaning no more automatic readings or in-home tracking.
• SMETS2 meters are built to work across the Data Communications Company (DCC) network, which connects the meters to all major UK energy suppliers. That means you can switch providers without losing smart functionality.

2. Technology & Communication

• SMETS1 meters use multiple regional networks, which led to coverage issues and compatibility problems, especially in rural areas.
• SMETS2 meters use a national, secure network and feature enhanced communication via the Wide Area Network (WAN) and Home Area Network (HAN), allowing remote updates, improved performance, and better security.

3. Switching Suppliers

• With a SMETS1, switching energy companies could result in a “dumb” meter that stops sending automatic readings.
• With SMETS2, switching is seamless—your meter keeps working, and you don’t have to lift a finger.

4. Security and Upgradability

• SMETS2 meters are designed with future upgrades in mind, including smarter tariffs and demand-response tech.
• They also meet updated cybersecurity standards, protecting your data from unauthorised access.

5. Coverage

• Thanks to more reliable communication technology, SMETS2 meters are better suited to a broader range of homes, including flats, new builds, and rural properties.

Differences Table

Feature	SMETS1	SMETS2
Smart after supplier switch	Often goes dumb	Always stays smart
Network type	Regional/private networks	National DCC network
Remote upgrades	Limited or none	Supported
Cybersecurity	Basic	Enhanced, up-to-date
Suitable for all homes	Not always	More universal compatibility
Future-proofing	Limited	Built for next-gen energy systems

Why You Should Get a SMETS2 Smart Meter at Home in 2025

Installing a SMETS2 smart meter isn’t just a compliance box to tick. It’s a practical move that can help you save money, reduce energy waste, and future-proof your home. Government estimates show smart metering will generate total bill savings to households of £5.6 billion by giving consumers the information they need to save energy.

Whether you’re looking to cut bills, manage energy more efficiently, or prepare for a greener, smarter grid, SMETS2 meters offer a range of benefits that SMETS1 meters can’t match.

Here’s why more UK households are making the switch:

1. Accurate Bills—No More Estimates

With a SMETS2 meter, your energy usage is automatically tracked and sent to your supplier. That means no more estimated bills, no manual meter readings, and fewer billing errors. You pay only for what you use, down to the kilowatt-hour.

2. Real-Time Energy Insights

SMETS2 meters come with an In-Home Display (IHD) that shows how much energy you use in real time in pounds and pence. This makes it easier to spot energy-hungry appliances and tweak your usage habits to cut waste and lower costs.

3. Supports a Greener Home

By making your energy use more visible and manageable, SMETS2 meters help you shrink your carbon footprint. They also lay the groundwork for future tech like smart tariffs, EV charging schedules, and time-of-use pricing that rewards off-peak use.

4. Enhanced Security and Remote Upgrades

SMETS2 meters are built on a nationwide secure network managed by the Data Communications Company (DCC). The National Cybersecurity Centre confirms that sensitive data is encrypted, there are regular remote updates, and compliance is maintained with the latest cybersecurity standards.

5. Future-Ready for Smart Grids

As the UK moves toward a smarter energy grid, SMETS2 meters enable more efficient energy distribution, better demand management, and support for renewable energy integration, especially as more homes install solar panels or heat pumps.

Important reminder: smart meters are not the same thing as an energy monitor, which tend to have more features and provide additional data.

Can You Upgrade from SMETS1 to SMETS2?

Yes. However, it depends on your meter model and energy supplier.

Energy supplies can upgrade some SMETS1 meters to function like SMETS2 meters. The DCC, which oversees the UK’s smart meter network, manages this process, which is called “enrolment and adoption.”

Here’s how it works:

• If your SMETS1 meter is compatible, your supplier can push a firmware update that connects it to the national smart network (DCC).
• Once upgraded, it should regain smart features, including real-time readings and switching compatibility.

However, not all SMETS1 meters are eligible. There may not be support for older or less common models. If upgrades for your SMETS1 are not possible, most suppliers will install a new SMETS2 meter at no extra cost as part of the ongoing smart meter rollout.

How to Get a SMETS2 Smart Meter Installed

Getting a SMETS2 smart meter installed is usually quick, free, and arranged through your energy supplier. Most major UK suppliers now fit SMETS2 meters by default, especially for new customers, renewals, and those upgrading from older models.

Step-by-Step Process:

1. Contact your energy supplier
Ask if SMETS2 meters are available in your area. In most cases, they’ll offer you a free installation appointment.

2. Book your installation
A qualified engineer will visit your home to fit the meter. It usually takes 1 to 2 hours per meter (electricity and gas).

3. Receive your In-Home Display (IHD)
This device lets you monitor your energy use in real time—in pounds, pence, and kilowatts.

4. Start using your smart features
After installation, your smart meter sends automatic readings, allowing for accurate bills and better energy insights immediately.

Key Things to Know:

• Installation is free for most UK households
• You don’t need Wi-Fi—SMETS2 meters communicate over a dedicated secure network
• If you rent, your landlord usually needs to agree (though they can’t unreasonably refuse)
• You can decline a smart meter, but you may miss out on specific tariffs and features

How Do I Know If My Smart Meter Is SMETS1 or SMETS2?

Here are a few simple ways to find out:

1. Check the Installation Date

• If the installation date of your smart meter is before December 2018, it’s likely a SMETS1. The Government announced that the switch date (when SMETS1 will no longer count as part of the rollout) would be December 2018, while for pre-payment smart meters it would be 15 March 2019.
• If installed after March 2019, it’s likely a SMETS2, especially if it came from a major supplier.

2. Look at the Meter Model Number

• Your meter should have a make and model number on the front.
• Some common SMETS1 brands: Secure Liberty 100, Aclara SGM1300, Elster AS300P.
• SMETS2 models often have “Liberty 200” or “EDMI” branding, among others.

Not sure what your model means? Take a photo and ask your supplier.

3. Have You Switched Suppliers?

• If your smart meter stopped sending automatic readings or reverted to manual readings after a switch, it’s probably SMETS1.
• If it continues working seamlessly, it’s most likely a SMETS2.

4. Use The Smart Meter Checker Tool

Citizens Advice provides a tool that can tell you what type of smart meter you have in your home and if it should work in smart mode. It can also tell you if your meter should work in smart mode after switching suppliers.

5. Ask Your Energy Supplier

This is an easy and reliable method: call or email your energy supplier. They can quickly tell you:

• Whether your meter is SMETS1 or SMETS2
• Whether or not you can upgrade your SMETS1
• Whether you’re eligible for a free SMETS2 replacement

How to Read SMETS2 Smart Meters

Even though SMETS2 meters automatically send readings to your energy supplier, there may still be times when you need to check your usage or take a manual reading, especially if you’re comparing bills, switching suppliers, or troubleshooting.

Here’s how to find the key information on your SMETS2 electricity or gas meter:

For Electricity Meters

1. Wake up the display
Press the A button (sometimes labelled “Select” or “Display”) to wake the screen.

2. Cycle through screens
Press the A or B button to scroll through the meter readings.

3. Look for the reading labelled “IMP” or “Import”
This is your actual usage in kilowatt-hours (kWh). Ignore leading zeros and decimal points. Example: If the screen shows IMP 005673.4, your reading is 5673 kWh.

4. Dual-rate (Economy 7) meters
You may see two readings:

• R1 (Rate 1 – Off-peak)
• R2 (Rate 2 – Peak)

For Gas Meters

1. Wake the screen
Press the A button to activate the display.

2. Find the volume reading
The gas usage will be shown in cubic meters (m³). Example: If you see 00045.231, your reading is 45 (rounded to the nearest whole number unless your supplier asks for decimals).

Check via Your In-Home Display (IHD)

Your IHD is the small screen that came with your smart meter and shows your usage in real time. It’s the easiest way to:

• View daily or weekly usage
• Track costs in pounds and pence
• See how much energy you’re using right now

It’s invaluable if you’re trying to cut back or compare energy habits across different days.

Need help interpreting your IHD screen or accessing your usage history? Most models (like Chameleon or Geo Trio) have a “menu” or “usage” button—follow the on-screen prompts, or check your IHD manual.

SMETS1 vs SMETS2 Smart Meters: Final Summary

Smart meters are transforming how we manage energy in the UK, and SMETS2 smart meters are leading the way.

While SMETS1 meters helped kick off the smart energy revolution, they came with limitations: most notably, they often lose smart functionality when you switch suppliers. In contrast, SMETS2 meters are fully interoperable, future-ready, and backed by a secure national network that keeps your smart features active no matter who you buy your energy from.

If you have a SMETS1 meter, your energy supplier may be able to upgrade it remotely or offer a free replacement. If you haven’t had a smart meter installed yet, there’s no better time. SMETS2 meters are free to install, take just a couple of hours, and can start helping you save energy and money almost immediately.

Switching to SMETS2 isn’t just an upgrade, it’s a smart move for your home, your wallet, and the future of the energy grid.

SMETS2 Smart Meters vs SMETS1 FAQs

How Can I Tell If My Smart Meter Is SMETS1 or SMETS2?

You can check your installation date and model number, or contact your energy supplier. Meters installed before March 2019 are likely SMETS1. SMETS2 meters often have serial numbers starting with “19M” and a visible communications hub. For certainty, your supplier can confirm which type you have.

Can SMETS1 Meters Be Upgraded to SMETS2?

Yes, many SMETS1 meters are being remotely upgraded through the UK’s DCC network. This process restores smart functionality, including automatic readings and real-time usage tracking. If your meter isn’t eligible, your supplier will typically offer a free SMETS2 replacement.

Is There a SMETS3 Smart Meter?

No. As of 2025, there is no SMETS3 smart meter. The SMETS2 standard is designed to be future-proof and supports remote updates, new tariffs, and evolving smart home technology, eliminating the need for a third generation.

Why Did SMETS1 Meters Lose Their Smart Features?

SMETS1 meters were built to work with the supplier who installed them. Many meters stopped communicating with the new supplier when you switched providers, effectively going “dumb.” SMETS2 meters avoid this by using a universal national network that works with all suppliers.

What Are the Main Benefits of SMETS2 Over SMETS1?

SMETS2 meters are more reliable, secure, and fully compatible across suppliers. They allow remote upgrades, support smart tariffs, offer better coverage (especially in rural areas), and are more suitable for integrating future energy technologies like EV charging and dynamic pricing.

Will My SMETS1 Meter Be Replaced Automatically?

Not always. Some SMETS1 meters are being remotely upgraded, while energy suppliers physically replace others. If your meter isn’t sending readings or has lost smart features, contact your supplier to check your eligibility for a free SMETS2 upgrade or replacement.

Do I Have to Pay for a SMETS2 Smart Meter?

No. In most cases, your energy supplier will install SMETS2 meters for free as part of the UK government’s smart meter rollout. Installation typically takes 1–2 hours, and you’ll also receive a free in-home display to monitor your energy usage.

Sources and References

GOV.UK – Q1 2025 Smart Meters Statistics Report

GOV.UK – 2010 to 2015 government policy: household energy

Ofgem – Ofgem sets out new rules to boost smart meter standards and compensation

Data Communications Company – Connecting Britain to a smarter energy network

National Cybersecurity Centre – The smart security behind the GB Smart Metering System

Citizens Advice – Check if your smart meter should work in smart mode

GOV. UK – Energy Security Bill factsheet: Smart metering

UK Parliament – Energy Smart Meters