The government published an Energy Digitalisation Framework with Ofgem in March 2026, according to the July 2026 update to the Clean Flexibility Roadmap1. The framework is described as a means to harness and coordinate the digitalisation programmes that serve as a key enabler for clean flexibility1. The update was published by the Department for Energy Security and Net Zero (DESNZ), which sets home energy policy1.
The framework sits within a wider programme. The July 2025 Clean Flexibility Roadmap was jointly published by DESNZ, Ofgem and NESO, and its scope covers short and long duration flexibility technologies alongside broader policies to accelerate flexibility capacity1. The government appointed Cathy McClay as Flexibility Commissioner in December 2025 to accelerate delivery, and she has chaired quarterly industry meetings and a consumer-led flexibility advisory group supported by ADE1. DESNZ, Ofgem and NESO are running a summer 2026 Roadmap Forum in July 2026 to adopt the new approaches, progress indicators and commitments in the update1.
Digitalisation work is already visible in metering. By mid-June 2026, Ofgem and Elexon had overseen the migration of more than 11.3 million smart meters to half-hourly settlement, and a third of Britain's electricity metering systems now operate under half-hourly settlement arrangements1. The update states this lays the foundations for a national transition to flexible consumer tariffs, which it says will offer households the opportunity to control their demand to lower their bills1. In June 2026, UKRI invited tenders for up to £25m of initial funding for innovation in consumer-led flexibility, including from digitalisation and AI, under its R&D Clean Energy Superpower Mission Accelerator Programme1.
On storage, Ofgem published its minded to position on 26 June 2026 to provide cap and floor investment support to 7.6GW of new Long Duration Electricity Storage projects across 16 projects, amounting to 137GWh of capacity1. The update says the new capacity is mostly pumped storage hydro and lithium-ion batteries, and also includes a compressed air energy storage project and a vanadium redox flow battery1. UK grid-scale battery storage power capacity reached 7.5GW in 2025, with a record new 2.3GW energised in that year alone1.
"In March 2026 the government also published with Ofgem an Energy Digitalisation Framework to harness and coordinate the crucial digitalisation programmes that serve as a key enabler for clean flexibility."
The update sets out new commitments, including that government will rapidly assess the feasibility of consumers accessing government support for low carbon technologies doing so using a flexible tariff, with an option to opt out, and will take primary legislative powers when parliamentary time allows to enable removal of final consumption levies for demand turn up1. Ofgem will set out immediate priority steps for adapting its regulatory frameworks for consumer-led flexibility innovation1.
| Measure | Figure | Date |
|---|---|---|
| Smart meters migrated to half-hourly settlement | More than 11.3 million | By mid-June 20261 |
| Metering systems under half-hourly settlement | A third of Britain's systems | Mid-20261 |
| LDES projects in Ofgem minded to position | 16 projects, 7.6GW, 137GWh | 26 June 20261 |
| Grid-scale battery storage power capacity | 7.5GW, with 2.3GW added | 20251 |
| UKRI consumer-led flexibility funding | Up to £25m | June 20261 |
Why it matters for households
Half-hourly settlement is the mechanism that allows a supplier to price and bill electricity according to when it is used rather than a flat profile. The update states that more than 11.3 million smart meters have moved to these arrangements, and that a third of Britain's metering systems now operate under them1. For a household with a smart meter, that is the technical precondition for time-of-use tariffs, and for automated shifting of appliances such as EV chargers, batteries and heat pumps. The update frames the benefit as households controlling demand to lower bills, while also reducing system costs to the benefit of all billpayers1.
The digitalisation framework itself is not a consumer product or a tariff. It coordinates programmes, and the update does not report any direct change to bills, standing charges or metering obligations arising from it. The commitments on flexible tariffs and on removing final consumption levies for demand turn up are stated as intentions, with primary legislative powers to be taken when parliamentary time allows1. The update also notes that government expects to introduce secondary legislation in Parliament later in 20261.
Storage and flexibility capacity affect households indirectly, through the cost of balancing supply and demand. The update cites NESO scenario modelling suggesting an eight-fold increase in clean flexibility capacity from 2024 to 20501. It also links the wider programme to the Warm Homes Plan, which it says will deliver £15bn of public investment in heat pumps, solar panels, batteries and more, to upgrade up to 5m homes and lift up to a million families out of fuel poverty by 20301. Ofgem's role in regulating these arrangements is set out in its remit as the energy regulator1.
What happens next
DESNZ, Ofgem and NESO are running a summer 2026 Roadmap Forum in July 20261. Government expects to introduce secondary legislation in Parliament later in 20261. NESO will publish skip rate figures for clean flexibility behind thermal constraints by Q3 2026, and will connect the CrowdFlex innovation project outputs within a sandbox environment to live and near-real-time data sources by June 20271. Defra plans to consult in summer 2027 on detailed regulatory policy proposals1.