Smart meter vs Traditional meter: How switching to a smart meter can save you money
Traditional meters are being phased out and by the end of 2025, the government aims to have installed smart meters in 80% of UK homes.
Smart meters provide the accuracy and visibility you need to manage your energy and save money – it’s not just an upgrade in technology, it' s a way for you to take control of your energy.
What’s the difference between a smart meter and a traditional meter?
The fundamental difference between the 2 meters is that a smart meter sends your energy usage information directly to your energy supplier, so there’s no need for manual meter readings. This also means that with a smart meter, you only pay for the energy you actually use.
Traditional meters rely on you submitting meter readings for your usage to be accurate and without this regular information, bills and usage has to be estimated.
The key takeaway is that a smart meter replaces the manual link between your meter and your energy supplier with a continuous, intelligent connection.
How a smart meter puts you in control of your energy
A smart meter alone won’t lower your energy usage, however it provides you with near real-time usage information so you can make smarter choices when using appliances.
Smart meters use a dedicated secure radio network, separate from your home WiFi, to send your usage data directly to your energy supplier and your in-home display (IHD).
By seeing how much energy you’re using in pounds and pence, you can spot the appliances that consume the most energy, and make changes to your usage habits. Making a few small changes can lead to savings over time.
Smart meters v’s traditional meters
Here’s a quick comparison of both meter types:
| Features | Traditional Meter | Smart Meter |
|---|---|---|
| Billing | Manual readings / Estimated usage | Near real-time, accurate usage data |
| Usage Visibility | None | Real-time usage data via an IHD |
| Switching | Simple to switch suppliers | Simple to switch suppliers |
| Top up | Card or key via a physical shop | Top-up online, via an app – no need to leave your home |
Choosing the right supplier is important, look for one that’s transparent with their pricing, offers clear guidance and helps you find a tariff that suits your household.
Take control of your energy costs
So, now you have all of the information, you can make an informed decision on whether upgrading to a smart meter is right for you.
REGISTER INTERESTYour smart meter questions answered
For most households, yes, it is. Having near real-time usage data and being able to see what you’re spending and where, can help you make smarter energy choices.
You can also top-up without even needing to leave your home via a mobile app or online.
No, smart meters are installed by your energy supplier free of charge.
Look for a digital display and an in-home display (IHD). Smart meters often have labels, SMETS1 or SMETS2, however if you’re still unsure, check with your supplier.
No, you do not have to have a smart meter. Smart meters are an upgrade to traditional meters, however they are not mandatory
Yes, smart meters are designed to be as accurate, perhaps even more so, that traditional meters as they measure your usage electronically and send digital readings directly to your energy supplier.
With automatic meter readings, visibility of your usage in near real-time and easy ways to top-up, smart meters offer more benefits over traditional meters.