Switching from prepayment to a credit meter

If you have an old-style prepayment meter, you can ask your energy supplier to replace it with:

• an old-style credit meter - this type of meter doesn't let you prepay for your energy

• a smart meter - this type of meter has a prepayment setting your supplier can turn on or off

Your supplier usually won’t replace your meter or change your smart meter setting if you’re in debt to them.

You can find out who your gas or electricity supplier is if you don’t already know.

You won't have to pay to have an old-style credit meter or a smart meter installed. If your supplier wants to charge you, contact the Citizens Advice consumer helpline.

If you were wrongly forced onto prepayment

In February 2023 the organisation which regulates energy companies, Ofgem, asked all energy suppliers to review any recent decisions they made to:

• force customers onto a prepayment meter

• remotely switch smart meter customers to prepayment

Ofgem asked energy suppliers to check they followed the rules when switching customers to prepayment. You can check the rules your supplier should have followed.  

If your supplier didn’t follow the rules, you might be able to get your:

• prepayment meter switched to a credit meter

• smart meter switched to credit mode 

In some cases you might be offered compensation. 

Complain to your supplier if you think you were wrongly switched to prepayment.

If it isn’t safe or practical for you to be on prepayment

Tell your supplier if it isn’t safe or practical for you to be on prepayment, even if you’re in debt - ask them to move you to a credit meter. 

If you’re aged 85 or older

Tell your supplier being on prepayment isn’t safe or practical if you’re aged 85 or older and:

• live alone

• live with someone, but neither of you can safely get to, work or top up your prepayment meter

If you’re disabled or have a health condition

If you’re disabled or have a health condition and you don’t think it’s safe for you to be on prepayment, you should tell your supplier immediately. 

You shouldn’t be on prepayment if you or someone in your home has a: 

• health condition or disability which makes it difficult to reach, work or top up a prepayment meter

• health condition or disability which needs a continuous supply of electricity - for example, you use a stair lift or take medication which needs to be kept in a fridge

• health condition which is made worse by a cold home - for example, sickle cell disease

• severe or terminal health condition - for example, cancer or organ failure

Important

If you have chronic obstructive pulmonary disease (COPD)

If you have COPD you might have:

• chronic bronchitis

• emphysema

If you have COPD but you’re not sure if you have chronic bronchitis or emphysema, speak to your GP or specialist to check.

It’s important to tell your supplier if you have chronic bronchitis or emphysema. If you have one of these conditions you shouldn’t be on prepayment.

If you can’t afford to top up

You shouldn’t be on prepayment if you can’t afford to top up and you or anyone in your home:

• is aged 75 or older

• is pregnant or has children aged 5 and under

• has a long term health condition, for example, Parkinson’s or osteoporosis

• has a mental health condition

• has had a recent bereavement

If you run out of gas or electricity because you can't top up your meter, this is called 'self-disconnecting'. Tell your supplier you might have to self-disconnect if you stay on a prepayment meter.

It might help if you can show your supplier you’ve worked out your budget. If you’re close to a negative budget it might mean your supplier won't force you to stay on prepayment. 

A negative budget means you have more money going out than you have coming in every month. Being close to a negative budget might mean you don’t have enough money left over to pay for higher energy costs in winter.

If your supplier still says you have to stay on prepayment, talk to an adviser.

If you need help managing money you owe to your energy supplier or anybody else, check our debt advice.

Work out your budget

Work out a budget so you know how much you have left each month after paying your essential bills and priority debts.

Make sure you save a copy of your budget - you’ll need to refer to this later. You’ll also need to send a copy to your energy supplier.

Try and be as accurate as you can. Before you start, find your most recent:

• bank statements

• payslips

• debit and credit card statements and bills

• receipts for things you pay for in cash

Use the budget calculator on the National Debtline website. You’ll create a financial document that you can keep.

If you can’t get to or top up your meter

Tell your supplier if you can’t reach or top up your meter. Tell your supplier if you can’t:

• reach your meter - for example, if it's above head height and you’re disabled

• get to your meter - for example, if it’s in a shared cupboard you don’t have a key for

• easily top up your meter - for example, if you don’t have a car and the nearest shop is over 2 miles away or you don’t have access to the internet to top up online

There might be ways around problems like these, for example, someone else in the home could reach or top up your meter. Your supplier might be able to move your meter or let you top up over the phone.

Tell your supplier anything which makes things more difficult for you to use a prepayment meter, for example, if you’re recovering from an injury. You should also tell them if you live with anyone who is:

• aged 16 and under

• aged 65 and older

You should ask to be put on your supplier's priority services register. This will give you extra help with your energy supply.

If you’ve finished paying off debt

If you don’t want to be on prepayment anymore, your supplier must remove your old-style prepayment meter and give you an old-style credit meter or smart meter instead. 

If you’d prefer to stay on prepayment, your supplier must reset your meter so you're not paying too much.

When you might need a credit check or deposit

Before your supplier installs an old-style credit meter or turns off your smart meter's prepayment setting, you might have to have a credit check or pay a deposit. If you’d rather not have a credit check you can ask to pay a deposit instead.

If your supplier asks for a deposit, it should be for a reasonable amount. They should work out what’s reasonable by looking at how much energy households like yours use over 3 months. This is usually between £150 and £300, though it could be more.

If it's much more, complain to your supplier, asking to know how they decided the amount. 

Check your final credit before you move off prepayment

Before your supplier installs your new meter or turns off your smart meter's prepayment setting, make a note of how much credit you have left. Your supplier will transfer your credit to your new account, so it will go towards your first bill.

If you owe money to your supplier because you've used some emergency credit, write this down instead. They’ll add what you owe to your first bill.

You should also take a final meter reading.

It’s a good idea to take a photo of the meter, so you have proof of what it says.

If you rent your home

You don’t need your landlord's permission to change your meter.

Your landlord can make you change your meter back when you move out. If you refuse to change it back they could keep some of your deposit.