Energy switch makes smart meters ‘go dumb’

BRITAIN’S biggest energy firms are failing to tell customers with smart meters that the devices will stop working if they switch to a cheaper deal.

Just over half of the million households with a smart meter who change energy providers every year to save money find the device goes “dumb”.

This means the meters no longer show how much gas and electricity is being used throughout the day in pounds and pence, reverting back to manual billing instead.

Smart meters are being offered to every home by 2020, under an £11billion government scheme, in an effort to help people to save money and use less energy.

Last night the energy regulator said firms were breaking the rules by not accurately informing customers before they switched deals whether their smart meter would fail to work properly, and threatened enforcement action against non-compliant firms.

Customers switching to E.ON, SSE, EDF Energy and npower are only told if their meter will lose its “smart” function after they have changed, firms admitted. Beforehand, they receive only generic warnings about the meters. Npower admitted to The Daily Telegraph

that all customers with a first-

generation smart meter would see it lose function after switching suppliers.

SSE, EDF and E.ON said the meters of customers from some providers would fail to work as intended, but refused to say which ones.

British Gas revealed that of the UK’S six largest energy firms, only customers switching from Scottish Power, SSE and EDF would retain full smart-meter function. It said it would “try its best” to tell customers if their meters would be affected before switching, but warned there were no guarantees.

Scottish Power, which currently offers the cheapest tariff on the market, claimed it tells all customers they will lose smart-meter function, despite this not being the case for many SSE, British Gas and EDF customers.

Consumer experts warned that the lack of transparency over smart meters was hampering consumers’ ability to choose the best energy deals for their circumstances.

James Daley, director at campaign group Fairer Finance, said: “The Government is going to great lengths to try to create a market which is transparent and easier for consumers to switch and get better deals, and this is the antithesis of that. The Government needs to stamp this out, otherwise it could undo all the good work that has been done in the energy market.”

An Ofgem spokesman said: “Under their licence conditions, before entering into a supply contract, suppliers must take all reasonable steps to assess the type of meter installed at a customer’s house.”