As part of a government initiative, gas and electric smart meters will be rolled out as standard to homes and businesses across the country by 2020.
British Gas managing director Chris Weston said, "Smart meters herald a new era for energy customers, bringing a transformation in the way they can manage energy use in their homes and businesses.
"Our £600m investment in Landis+Gyr’s smart metering solutions means we can provide smart meters cost-effectively to our customers, and bring them the benefits of this innovative technology as soon as possible."
British Gas adopted a strategy to introduce smart meters into homes and businesses early and has already installed more than one million meters.
Landis+Gyr CEO Andreas Umbach said, "We’ve been working with British Gas for the last three years to develop smart meters for its customers.
"This deal allows us to achieve significant economies of scale in meter production, to expand our UK operations and to further establish the UK as a global centre of smart energy excellence."
