As it looks to continue to operate the secure and reliable infrastructure connecting smart meters in the UK, the Data Communications Company (DCC) has revealed that it has become a not-for-profit organisation to offer a renewed focus on delivering long-term value for customers in Great Britain’s energy system.
The UK’s smart meter network is designed to enable energy suppliers to provide services such as accurate billing, smart prepayment and what are considered “innovative tariffs”.
The network is becoming increasingly intrinsic to utility operations, with organisations now responsible for some of the UK’s most critical infrastructure. As a result, managing such complex infrastructure is increasingly becoming a data-driven task, depending highly on the ability to securely and reliably connect assets, many of which were often not designed for the digital age.
Yet recent research has found that despite nearly all utility companies in the UK having connectivity infrastructure in place, nearly all are experiencing downtime, with a wide gap between connectivity coverage and performance. Specifically, the Sector in focus: Connecting the UK’s utilities study revealed a significant reliability gap was holding back utility firms from delivering the resilience, security and performance expected of what they support.
A wholly owned subsidiary of Smart Energy Code Company, DCC operates Great Britain’s national smart meter communications network, connecting more than 39 million smart meters and enabling the secure exchange of billions of messages each month. Smart meter data is also helping distribution network operators plan and manage their networks and respond more quickly to outages.
The organisation also operates a Central Switching Service to allow consumers to switch energy suppliers quickly and reliably. Since its launch in 2022, the service has completed more than 54 million successful switches.
Following an 18-month competitive procurement, which is said to have focused on improving cost and technology benefits for its customers and energy consumers, DCC entered into a partnership with service providers IBM UK, CGI, Netcompany and Vodafone to upgrade Britain’s smart meter network.
The new company, DCC2 Ltd, was awarded the new Smart Meter Communication Licence following a competitive tender process and assumed responsibility for the authorised business on 2 November 2026.
The new model is intended to put public value and consumer benefit at the heart of DCC, with a stronger focus on secure, reliable and cost-effective services and on unlocking greater value from the smart meter network. A majority-independent board will oversee delivery and accountability.
As it was undergoing its transition, DCC stressed that it was changing its governance and regulatory framework, but not its core responsibilities. Indeed, it said the new framework is intended to bring refreshed objectives with a stronger focus on what it delivers for consumers: secure, reliable and cost-effective services, alongside innovation that supports a smarter energy system.
DCC also believes that offering greater transparency over longer-term plans, costs and investment priorities will give customers a clearer view of what it intends to deliver, when and at what cost.
Moreover, as the UK’s energy system becomes increasingly digital, the new model will enable DCC to work with government, regulators, customers and industry to increase the public value of its network and the secure, responsible use of smart meter data.
The recently announced majority-independent board will oversee delivery and hold DCC accountable for progress.
“Becoming a not-for-profit organisation is a significant moment for DCC,” remarked the company’s CEO, Chris Lovatt. “With the smart meter network now a national asset operating to the highest standards of security, this move gives DCC, in collaboration with our customers and wider industry, the opportunity to unlock greater value from it, while continuing to ensure the high standards of performance consumers across Britain depend on.”
