More than seven million smart meters will be installed in homes across the UK under a new £1 billion roll-out programme.
The scheme is backed by six commercial banks including Barclays, HSBC and Santander. The European Investment Bank (EIB) will provide £360 million.
It will be managed by Calvin Capital, an owner of gas and electricity meters.
The programme aims to support the UK Government’s plans to ensure more than 53 million smart electricity and gas meters are installed in every small homes and businesses by 2020. The mass roll-out will begin in 2016.
Earlier this year a delay in the roll-out was announced after the company in charge of the communications system revised its plans as “significant changes emerged in finalising the technical requirements and specifications”.
European Commission Vice President Jyrki Katainen, said: “Smart meters improve customer awareness of how much they are spending on their energy bills so they can make informed decisions on their energy use.”
“This programme provides a benchmark for similar smart meter schemes across Europe in the future,” added Jonathan Taylor, EIB Vice President.