Cheapest electricity tariff for storage heaters (UK guide)
Storage heaters can be cheap to run on the right tariff, but “cheapest” depends on your meter (standard vs Economy 7/10/smart), when you use power, and your region. This guide shows how to choose the best tariff type and compare deals confidently.
- Quickly check whether an off-peak tariff (like Economy 7) will actually reduce your costs
- Understand standing charges, peak/off-peak rates, and common storage-heater pitfalls
- Get a whole-of-market comparison with clear assumptions and no savings guarantees
Estimates only. Prices and availability vary by region, meter type and payment method. Always confirm rates and T&Cs before switching.
Fast answer: what’s usually the cheapest tariff for storage heaters?
For most UK homes with traditional storage heaters, the cheapest setup is an off-peak electricity tariff (most commonly Economy 7) only if you can shift a large share of your electricity use into the off-peak window and your heaters are wired/timed to charge overnight.
Important: If you don’t use much electricity overnight, Economy 7 can cost more than a single-rate tariff because the daytime (peak) unit rate is usually higher, and standing charges still apply.
Key takeaways (UK-specific)
- Economy 7 tends to suit storage heaters when 40%–60%+ of electricity can be used off-peak (varies by prices and your usage).
- Economy 10 (where available) can help if you need some cheaper electricity during the day, but availability is more limited and depends on your meter/network.
- Smart time-of-use tariffs can be competitive, but rates change by time block and they may not align with how storage heaters charge—check the schedule carefully.
- Region matters: electricity prices vary by distribution region (your postcode affects what’s “cheapest”).
- Meter type matters: some properties have restricted/legacy meters (e.g. related to old heating setups) that can limit which suppliers/tariffs you can switch to.
Compare tariffs for storage heaters (whole of market)
Tell us a few details and we’ll match you to suitable tariffs for your meter type and usage pattern, including off-peak options where available. If you’re not sure what meter you have, that’s fine—enter what you know and we’ll help you narrow it down.
What you’ll need: postcode and (ideally) an annual kWh estimate or a recent bill showing whether you’re on single-rate or two-rate (Economy 7/10).
Two realistic examples (with assumptions)
Scenario A: Flat with storage heaters, good off-peak use
- Assumed annual use
- 4,800 kWh electricity (no gas), 55% off-peak (2,640 kWh)
- Illustrative tariff comparison
- Single-rate: 26p/kWh + 55p/day
Economy 7: 14p off-peak / 30p peak + 55p/day - Estimated annual cost
- Single-rate ≈ £1,551
Economy 7 ≈ £1,353
Difference ≈ £198/year cheaper
Estimates include standing charge (55p/day). Rates are illustrative only and vary by supplier/region.
Scenario B: Storage heaters but low overnight charging
- Assumed annual use
- 3,600 kWh electricity, 25% off-peak (900 kWh)
- Illustrative tariff comparison
- Single-rate: 26p/kWh + 55p/day
Economy 7: 14p off-peak / 30p peak + 55p/day - Estimated annual cost
- Single-rate ≈ £1,239
Economy 7 ≈ £1,290
Difference ≈ £51/year more expensive
If you can’t shift usage, Economy 7’s higher peak rate can outweigh cheaper nights.
How to use these examples: check your off-peak share (from your bill, smart meter app, or supplier). If you don’t have it, we can help estimate based on heater type and routines.
Get your storage-heater tariff quote
Quick check before you compare
- If your heaters don’t charge overnight, ask an electrician/landlord whether they’re wired to the off-peak circuit.
- If you’re renting, check your tenancy rules around changing supplier (you usually can, but bills must be paid and meter access may be needed).
- If you’ve got a prepayment meter, some tariffs/suppliers may be limited.
How to choose the cheapest electricity tariff for storage heaters
To find the cheapest option for your home, focus on total annual cost (unit rates + standing charge) matched to when you use electricity. Storage heaters are unusual because they can shift a large chunk of heating demand into cheaper hours—but only if the setup and routines align.
- Confirm your meter and readings. If you have two readings (day/night) you’re likely on Economy 7 (or similar). A smart meter can still be on single-rate.
- Estimate your off-peak percentage. Look at your annualised day vs night kWh on your bill. If you’re new to the property, start with a conservative estimate.
- Check the off-peak hours. Economy 7 is typically 7 hours overnight, but the exact times vary by region and meter setup. Some meters split times across the night.
- Compare standing charges carefully. A low unit rate can be offset by a higher standing charge, especially in low-usage flats.
- Look for exit fees and fixed-term conditions. A “cheap” tariff may be less flexible if prices fall or your usage changes.
- Check payment method eligibility. Some deals differ for Direct Debit vs prepayment; not all suppliers support all meter types.
If you’re on legacy heating arrangements: Some homes have restricted or complex meter setups linked to older electric heating (multiple registers, separate heating circuits). Switching may still be possible, but it can require a meter exchange or changes to wiring—always confirm before committing.
Tariff types compared (storage heaters)
Use this table to shortlist the tariff type that fits your heaters and daily routine. The “best” option is the one with the lowest estimated annual cost for your actual day/night usage split.
| Tariff type | How it prices electricity | Best for | Watch-outs |
|---|---|---|---|
| Economy 7 (two-rate) | Cheaper off-peak rate for ~7 hours + higher peak rate + standing charge | Homes where storage heaters charge overnight and you can shift usage (laundry/dishwasher) to night | Can be pricier if off-peak share is low; off-peak times vary; peak rate often higher |
| Economy 10 | Cheaper electricity for ~10 hours, often split across day/night | If you need some cheaper daytime electricity (e.g. home during the day) | Not available everywhere; meter requirements can limit switching |
| Single-rate | One unit rate all day + standing charge | Low off-peak use, panel heaters, or when storage heaters aren’t charging as intended | Misses potential savings if you could shift usage; not tailored to overnight charging |
| Smart time-of-use (TOU) | Multiple price bands by time/day (sometimes dynamic) | Homes that can follow the time bands closely and monitor usage | Complexity; “cheap hours” may not match heater charge needs; requires a compatible smart meter setup |
| Restricted/legacy heating tariffs | Separate circuits/registers for heating vs general use | Some older all-electric flats with dedicated heating supply | Can reduce supplier choice; may need meter upgrade to access mainstream deals |
Decision checklist: likely to suit you if…
- You have storage heaters with a working timer/charge control
- You can run appliances overnight (or set timers)
- Your household’s off-peak share is roughly 40%+ (often higher with storage heating)
- You know your off-peak hours (or can find them) and can adapt routines
Probably not worth it if…
- Your heaters are mainly used in the daytime via boost/convector mode
- You’re out overnight and can’t safely time usage
- You have low electricity use overall (standing charges become more important)
- Your meter is restricted and switching would require a meter exchange you can’t arrange (e.g. rented property without approval)
Practical tip: If you have a smart meter, ask your supplier for a breakdown of usage by time or register. Knowing your off-peak percentage is often the fastest way to decide between Economy 7 and single-rate.
Costs, exclusions and common pitfalls (storage heaters)
These are the most common reasons people end up paying more on an off-peak tariff—plus what to check before you switch.
1) Off-peak hours aren’t what you think
Economy 7 times vary by meter and region. Some areas switch at different times in summer/winter, and some meters split the 7 hours across the night.
Check your bill, meter manual, or ask your supplier to confirm the exact off-peak window for your meter.
2) Heaters aren’t charging on the off-peak circuit
If a storage heater is wired incorrectly (or you’re relying on daytime boost), you may be paying peak rates for “stored” heat.
If you rent, speak to your landlord/agent before arranging any electrical work.
3) Standing charges dominate in small flats
Even with a cheap unit rate, a higher standing charge can make a tariff less competitive if your total kWh is low.
Always compare total annual cost using your estimated consumption (not just unit rate).
4) Exit fees and fixed-term conditions
Some fixed tariffs include exit fees if you leave early. If your heating patterns change (or you upgrade heaters), a tariff that’s cheapest today might not be best later.
5) Meter exchanges can affect switching speed
If you have a restricted/legacy meter, a supplier may require a meter exchange to move you to a mainstream tariff. That can take time and needs access.
6) Prepayment limits the market (but not always)
Some suppliers/tariffs aren’t available for prepayment, and prices can differ. Smart prepayment may offer more flexibility than legacy key/card meters.
Comfort caveat: The cheapest tariff is not always the best lived experience. If you regularly run out of stored heat and rely on daytime boost, you may be better with a different tariff type or heating controls—especially in poorly insulated homes.
FAQs: storage heater tariffs in the UK
Is Economy 7 always the cheapest for storage heaters?
No. It’s often cheapest when a large share of your electricity is off-peak and your heaters charge overnight. If most of your use is daytime (peak), single-rate can be cheaper.
What off-peak percentage do I need for Economy 7 to be worth it?
There’s no single threshold because it depends on the gap between peak and off-peak rates and the standing charge. As a rule of thumb, many homes need around 40%+ off-peak use, but you should compare using your own kWh split.
How do I know if I have an Economy 7 meter?
Your bill usually shows two unit rates (day/night) or two readings. Your meter may cycle between readings (often labelled 1/2 or low/normal). If in doubt, ask your supplier to confirm.
Can I switch from Economy 7 to single-rate?
Often, yes—but it depends on your meter and wiring. Some two-rate meters can be reconfigured; others may require a meter exchange. If you have a restricted/legacy setup, confirm the process and any appointment requirements before switching.
Do smart meters make storage heaters cheaper?
A smart meter doesn’t automatically reduce costs. It can help you track day vs night usage and access some time-of-use tariffs, but the best option still depends on your heater charging and routines.
Are off-peak hours the same everywhere in the UK?
No. Off-peak schedules can vary by region and meter type. Your meter’s switching times may also differ from a neighbour’s even on the same tariff name.
I’m on a prepayment meter—can I still get an Economy 7 tariff?
Sometimes. Availability depends on your meter type and supplier. Smart prepayment can offer more options than older key/card meters, but not every tariff is offered on prepay.
What if my storage heaters are too expensive even on Economy 7?
Check insulation and controls first (charging level, output, timers). If you’re relying heavily on daytime boost, you may be paying peak rates. In some homes, upgrading to modern high-heat-retention storage heaters and better controls can improve comfort and reduce peak usage—costs and suitability vary by property.
Trust, methodology and sources
Page details
- Written by
- EnergyPlus Editorial Team
- Reviewed by
- Energy Specialist
- Last updated
- April 2026
How we assess “cheapest” for storage heaters
We treat “cheapest” as the lowest estimated annual electricity cost for a given household, based on:
- Meter compatibility: whether the tariff can be applied to your meter type (single-rate, Economy 7/10, smart, restricted/legacy).
- Regional pricing: UK electricity tariffs vary by distribution region, which is linked to your postcode.
- Payment method: Direct Debit vs prepayment can change what’s available and the rates offered.
- Usage split: your estimated day vs off-peak kWh (this is critical for Economy 7/10 and time-of-use tariffs).
- Total cost components: unit rates + standing charges, plus any stated exit fees or fixed-term conditions (where applicable).
Limitations: Our worked examples use illustrative rates to show the decision logic. Your actual prices depend on supplier, region, and current market conditions. Off-peak hours and eligibility can vary, so always confirm tariff details before switching.
Sources (UK)
- Ofgem (UK energy regulator) – guidance on energy bills, switching, and consumer protections.
- Citizens Advice: Energy – practical help with tariffs, meters, and dealing with suppliers.
- GOV.UK: Energy – government information on energy support and home energy topics.
Ready to find the right tariff for your storage heaters?
Compare suitable tariffs for your meter type and usage pattern. It only takes a few minutes, and we’ll show the key rates and caveats upfront.
Back to EV Charger