Economy 7 Tariffs in the UK: Save with Off-Peak Electricity at Night

Economy 7 is a dual-rate electricity tariff that gives you around 7 hours of cheaper power overnight and a higher day rate the rest of the time. If you can shift enough usage to night—think storage heaters, immersion hot water, dishwashers, washing machines, or EV charging—you could cut your bills.

• Cheaper night rate (~7 hours)
• Great for storage heaters & EVs
• Works with smart meters

Updated: 25 October 2025 · This guide is for informational purposes and not financial advice.

What you’ll learn

1. What is Economy 7 and how it works
2. Typical off-peak hours and how to check yours
3. Pros and cons of Economy 7
4. Smart meters and Economy 7
5. Will you actually save? Break-even tips
6. Economy 7 savings calculator
7. Economy 7 vs Economy 10 vs single-rate
8. How to switch to Economy 7
9. FAQs

What is Economy 7?

Economy 7 is a time-of-use electricity tariff widely available in the United Kingdom. It provides:

• About 7 off-peak hours overnight at a cheaper unit rate (p/kWh)
• A higher day unit rate during the remaining hours
• A daily standing charge (similar to other tariffs)

It’s designed for homes that can move a meaningful share of electricity use into the night—especially those with electric storage heaters, immersion hot water tanks, or EV charging. You’ll need either a dual-rate meter (often called an Economy 7 meter) or a smart meter configured for dual rates.

When are the off-peak hours?

Off-peak windows depend on your supplier, region, and meter setup. Common examples include:

• 11pm–6am
• 12am–7am
• 1am–8am

Some areas have slightly different periods, and the times may be affected by British Summer Time (BST). Always check your bill, in-home display, or ask your supplier to confirm your exact hours.

Is Economy 7 right for you? Pros and cons

Tip: Many households break even if at least ~30–40% of their electricity is used at night, but the exact threshold depends on your supplier’s day/night prices. Use the calculator below to check.

Smart meters and dual-rate tariffs

• SMETS2 smart meters support multiple registers (day/night) and can usually be switched between single-rate and Economy 7 remotely by your supplier.
• Your in-home display can show when you’re in off-peak mode and the current rate.
• If you have an older meter, your supplier can advise whether a smart upgrade or a dual-rate meter exchange is needed.

Will you actually save on Economy 7?

Your savings depend on two things:

1. Price difference between the day and night unit rates
2. Share of usage overnight (how much you can shift to off-peak)

For example, if your night rate is much cheaper but your day rate is significantly higher, you’ll want to push as much consumption as possible into the night window. Storage heaters, immersion heaters, tumble dryers, dishwashers, washing machines, and EV chargers can often be scheduled to run overnight using built-in timers or smart plugs.

Note: The Ofgem energy price cap also applies to standard variable Economy 7 tariffs, setting regional maximums for day and night rates and standing charges. Exact rates differ by supplier, region, and meter type.

Economy 7 savings calculator

Estimate whether Economy 7 could beat a single-rate tariff. Enter prices in p/kWh and standing charge in p/day.

This is a simple estimator. Real bills vary by region, tariff type, metering, VAT, and exact off-peak window.

Economy 7 vs Economy 10 vs single-rate

• Economy 7: ~7 off-peak hours overnight. Best if you can schedule usage mainly at night.
• Economy 10: ~10 off-peak hours split across day and night (availability varies). Can suit homes needing daytime top-ups. Learn more: Economy 10 guide.
• Single-rate: One price all day. Better if you can’t shift enough usage to off-peak.

How to switch to an Economy 7 tariff

1. Check your meter type. Look for two reads (day/night) or ask your supplier. Smart meters can usually be configured for Economy 7.
2. Know your usage. Your last 12 months’ kWh (or best estimate) helps compare deals accurately.
3. Compare tariffs. Consider day and night unit rates, standing charge, contract length, and any exit fees.
4. Apply online. Switching normally takes around 5 working days. You’ll give opening readings if needed.
5. Set timers. Schedule storage heaters, hot water, and appliances to run in the off-peak window.

How to make the most of Economy 7

• Use appliance timers or smart plugs to run dishwashers, washing machines, and dryers overnight
• Heat hot water with an immersion heater on a timed off-peak schedule
• Pre-heat or charge thermal storage heaters during the off-peak window
• Charge EVs at night using your charger’s schedule
• Avoid heavy daytime usage where possible to limit higher day-rate costs

How Economy 7 billing works

• Two unit rates: A higher day rate and a lower night rate, charged per kWh
• Standing charge: A daily fee applied regardless of usage
• Meter reads: Either two registers on a traditional E7 meter or two time-of-use registers on a smart meter

Common pitfalls to avoid

• Not confirming off-peak hours and missing the cheapest window
• Forgetting to schedule appliances—leading to high day-rate usage
• Assuming Economy 7 is always cheaper—run the numbers first
• Ignoring standing charges and contract terms when comparing deals

Related guides

• Economy 10 explained
• Smart meters: what you need to know
• Storage heaters: setup and savings

Economy 7 FAQs