Energy suppliers must offer £30 credit, or an equivalent period without disconnection, when they install a prepayment meter or switch a smart meter to prepayment mode without the householder's consent, under rules that took effect from April 20231. The requirement sits alongside a voluntary commitment suppliers made in February 2023 to stop force-fitting prepayment meters or switching smart meters to prepayment mode without consent1.
The £30 figure is the credit that suppliers "should offer" under the new rules, according to consumer advice published by Energy UK, the Department for Energy Security and Net Zero and Ofgem1. The same guidance states that further rules suppliers should follow from November 2023 extend protections for vulnerable people1. The guidance does not set out how the £30 credit interacts with existing emergency credit arrangements, and no further detail on the non-disconnection alternative has been reported1.
"new rules (from April 2023) mean they should offer £30 credit"
The rules apply where a supplier moves a household onto prepayment without consent, whether by fitting a meter or by remotely switching a smart meter already in the home. Households wanting to understand when a smart meter can be switched to prepayment without consent can find the consent rules set out separately from the credit requirement. The wider framework of prepayment meter and vulnerable customer protections covers who suppliers may and may not move onto prepay. Households facing an installation can also read whether a supplier can force a prepayment meter and the position on disconnection, warrants and forced prepayment installation.
| Item | Detail |
|---|---|
| Applies from | April 20231 |
| Trigger | Prepayment meter installation, or smart meter switched to prepay, without consent1 |
| Supplier obligation | Offer £30 credit, or an equivalent non-disconnection period1 |
| Related voluntary commitment | Suppliers agreed in February 2023 to stop force-fitting and unconsented smart meter switches1 |
Why it matters for households
A £30 credit on a prepayment meter is roughly the difference between a meter that keeps supplying and one that runs out. Prepayment customers pay a standing charge every day even when they use no energy, so balances can fall without any gas or electricity being used1. A household moved onto prepay without agreeing to it can therefore face a meter that stops supplying sooner than expected. The credit requirement puts a floor under that position at the point of installation.
For a home's energy independence, the practical effect is that a supplier-initiated switch to prepay does not begin at a zero balance. The £30 is a one-off amount tied to the installation, not an ongoing subsidy, and it does not change the unit rates or standing charges a prepayment customer pays. The guidance notes that prepayment customers have access to additional help beyond the credit itself1.
What happens next
The guidance records that from 1 April 2024 the standing charges for prepayment meters were reduced to the level of direct debit under the price cap1. It also notes that the legacy industry-run service supporting Radio Teleswitch (RTS) meters is being phased out and is planned to end on 30 June 20251. No further changes to the £30 credit requirement have been reported1.