What happens if I run out of credit?

Most meters have emergency credit (usually around £5–£15) that keeps supply going — but it must be repaid on your next top-up. Smart prepayment meters can be topped up remotely.

Can my supplier force-install a prepayment meter?

Rules tightened after the 2023 scandal: suppliers face strict conditions before any involuntary installation, including checks for vulnerability. If you're in debt, ask about repayment plans first.

Prepayment Meters Explained (UK, 2026)

Q: Is prepayment energy more expensive than direct debit?

Historically yes, though the price cap now keeps prepayment unit rates close to direct debit rates. Standing charges can still differ, so check your tariff.

Q: Can I switch from prepayment to direct debit?

Usually yes, if you've cleared any debt or agreed a repayment plan. Contact your supplier — moving to direct debit is often cheaper and easier to manage.

Around 4 million UK homes pay for energy with prepayment meters — topping up before they use it. Here's how they work, what they cost, and what to do if you're struggling.

How prepayment meters work

You top up with credit before using energy — via app, phone, text, or at a PayPoint/Payzone shop.
Smart prepayment meters top up remotely; traditional key/token meters need the physical key or card.
Emergency credit (typically £5–£15) keeps you connected when credit runs out — repaid from your next top-up.
Some debt can be set to repay automatically from top-ups — check how much of each top-up goes to debt vs energy.

What they cost

Unit rates are now capped close to direct debit levels, but check your tariff's standing charge.
You miss out on the cheapest fixed deals, which usually require direct debit.
Topping up in small amounts often can mean more trips and less visibility of total spend.
If you're paying debt through the meter, ask your supplier to review the repayment rate — it must be affordable.

Track your top-ups

Prepayment makes spending visible — but only if you record it. Log your top-ups in UK Bill Tracker (free) to see your real monthly energy cost, compare it against direct debit tariffs, and get reminded when better deals appear.

Track your energy spending free

Frequently asked questions

Is prepayment energy more expensive than direct debit?

Unit rates are now similar under the price cap, but you miss the cheapest fixed deals.

Can I switch from prepayment to direct debit?

Usually yes once debt is cleared or a repayment plan is agreed.

Prepayment meters explained