smarty/docs/programmers/api-variables/variable-escape-html.md

$escape_html

Setting $escape_html to TRUE will escape all template variable output by wrapping it in htmlspecialchars({$output}, ENT_QUOTES, $char_set);, which is the same as {$variable|escape:"html"}.

Template designers can choose to selectively disable this feature by adding the nofilter flag: {$variable nofilter}.

Modifiers and Filters are run in the following order: modifier, default_modifier, $escape_html, registered variable filters, autoloaded variable filters, template instance's variable filters. Everything except the individual modifier can be disabled with the nofilter flag.

Note

This is a compile time option. If you change the setting you must make sure that the templates get recompiled.