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Energy regulator Ofgem has said smart meter customers facing delays or failed installations could receive £40 compensation from next month. The tougher smart meter rules will come into force from February, having originally been announced for March to improve the smart meter experience for energy customers.

Ofgem said households will automatically receive £40 when they have to wait more than six weeks for a smart meter appointment, an installation appointment fails due to a fault within the supplier's control, or when a supplier does provide a resolution plan for a reported issue within five working days. Melissa Giordano, deputy director of systems and processes at Ofgem, said: "Smart meters offer customers accurate bills, cheaper tariffs, and real-time energy use tracking.

"Every customer who wants a smart meter should get one quickly, and it should work from day one.

"These new rules will set clear expectations of suppliers, drive better performance, and protect consumers when things go wrong."

Smart Energy GB, a government-backed organisation tasked with informing energy consumers about the benefits of smart meters, says "considerable progress" has been made in improving people's experiences when using them.

A Smart Energy GB spokesperson said: "More than nine in 10 now operate in smart mode, and the latest data shows 85% of people are happy with their smart meter. The latest Citizens Advice-Ofgem Consumer Satisfaction Survey shows consumer satisfaction with smart meters increasing for the fourth successive wave over the past two years.

"It's important that people have a positive experience of smart meters.

"The new measures announced by Ofgem should provide further reassurance for households and businesses about the installation process and resolution of any issues, so they can fully benefit from their smart meter - including greater control over their energy use and access to flexible tariffs that can help save money."