Prepayment Meter Costs in the UK
Prepayment meters (PPM) let you pay for energy as you use it by topping up a key, card or smart-meter app. Since April 2024, Ofgem requires PPM rates to be no higher than direct-debit rates — but there are still important differences.
If you self-disconnect (run out of credit), you still owe standing charges. Many PPM customers can request emergency credit of around £5–£10 to bridge a top-up.
PPM vs direct debit — current picture
- Unit rates and standing charges are now broadly aligned.
- Direct debit usually still has access to the cheapest fixed deals.
- PPM gives tight budget control with no surprise bills.
- Smart PPM lets you top up via app — no more shop trips.
How to switch off PPM
- Ask your supplier — most will swap to credit mode for free if your account is in good standing.
- If you have a smart meter, the swap is usually a remote mode change.
- If you owe debt, you may need to clear it first or agree a repayment plan.
Check what your meter is costing you
- Standing charge calculator — what the daily charge costs you a month and a year.
- Standing charges explained — why prepayment meters still charge you on zero usage.
- Energy bill calculator — compare your prepayment rates against the direct debit cap.
- Smart meters in the UK — how smart pay-as-you-go top-ups work.
- Supplier Monitor — which suppliers handle prepayment customers and debt best.