DCC2 takes over Britain’s smart-meter data network
The not-for-profit successor is wholly owned by Smart Energy Code Company and replaces Capita subsidiary Smart DCC under a public-interest model.
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The not-for-profit successor is wholly owned by Smart Energy Code Company and replaces Capita subsidiary Smart DCC under a public-interest model.
DCC2 Ltd has taken control of the data network connecting Great Britain’s smart meters, replacing Capita subsidiary Smart DCC. The successor is a not-for-profit company wholly owned by Smart Energy Code Company (SECCo) Ltd.
The handover ends Smart DCC’s 13-year licence to set up the network. Its development faced costly delays while millions of households experienced billing problems, The Guardian said. In its 2 November report, the newspaper described the transfer as completed. Energy regulator Ofgem had designated 2 November as the first transfer date.
Capita says the network connects more than 39.2 million smart meters across 23 million homes and small businesses, and has 99.6% availability. Energy suppliers and distribution network operators are among its customers and users.
Ofgem awarded DCC2 the Smart Meter Communication Licence on 14 April 2026 after a competitive tender. The successor replaces the commercial framework established in 2013 with a not-for-profit, public-interest model. Ofgem says the new arrangements include governance with an independent majority and cost controls set in advance.
The licence also covers how services are bought and delivered, and how performance is monitored and reported. DCC2 says it will give greater attention to cost, transparency and the needs of customers and consumers.
The successor’s board will include energy and telecom industry executives and Dame Gillian Guy, a former chief executive of Citizens Advice. The organization said in 2024 that households had been let down by the rollout because almost a third of smart meters were not working properly.
Industry sources told The Guardian that Smart DCC was effectively blocked from bidding after officials chose the not-for-profit model. Ofgem says it ran an open competitive tender whose initial qualification stage was open to any applicant.
The planned Effingham County pilot would reduce the data center’s electricity demand during extreme weather or emergencies, rather than add new generating capacity.
Ofgem also opened an investigation into Smart DCC procurement contracts, including deals awarded without competition and one awarded to Capita. The outgoing operator promised a seamless transition, and Capita says it worked with stakeholders on an orderly handover.
DCC2’s licence has an initial fixed term of 6 years from the transfer date; Ofgem may extend it if specified conditions are met. Ofgem also says DCC2 is to produce a business strategy and technology roadmap.
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