How to get approved for Economy 7 Tariffs (UK)

Get approved and start saving on off-peak electricity

Switcha explains how Economy 7 works, what you need in place, and the steps to secure approval with a supplier. Used well, night rates can be up to 50% cheaper.

Understanding price per kWh is only half the story - when you use electricity matters just as much.

Who benefits most from Economy 7

Households that can shift at least 40% of electricity use into the seven off-peak hours tend to save. Typical winners include homes with storage heaters, immersion heaters, or an EV charging overnight. If your routine is daytime heavy - think work-from-home with constant heating and appliances - standard single-rate tariffs may be cheaper.

The essentials in plain English

Economy 7 is a dual-rate electricity tariff with cheaper pricing overnight and a higher rate in the day. Off-peak windows usually fall between 11pm and 8am, set by your supplier and region, and may shift with British Summer Time. To be billed correctly you need an Economy 7 meter or a compatible smart meter that records day and night consumption separately. Most UK suppliers can install or upgrade meters, sometimes with a charge or contract requirement.

Ofgem’s Energy Price Cap applies to Economy 7, limiting the typical annual cost, but suppliers still set their own day and night unit rates within the cap. That means shopping around matters. Under the July 2025 cap, a typical household using about 42% at night would pay around £1,191 per year - but your results will vary by usage and region.

The big lever is behaviour. Using timers for washing machines, dishwashers, immersion heaters and EV charging concentrates consumption overnight. If you cannot realistically reach that 40% off-peak threshold, higher daytime rates could erase any savings.

Your tariff choices and what they mean

Economy 7 is widely available across Great Britain, but features differ by supplier. Day rates tend to be higher than on single-rate tariffs, night rates significantly lower. Many suppliers prefer to set you up with a smart meter for smoother billing and to future-proof you for other time-of-use products.

Here is a quick suitability snapshot:

Some suppliers offer add-ons like smart charging for EVs, which can automate off-peak usage. Others may set minimum contract terms or run credit checks. Off-peak hours vary - always confirm your exact window and whether timers adjust automatically for BST.

Standout tip: If you cannot consistently hit 40% off-peak, reconsider and compare a standard fixed or variable tariff before switching.

Pounds and pence - what to expect

• Savings potential: Night rates can be up to 50% cheaper than daytime rates. Real savings depend on your off-peak share. Hitting or exceeding 40% off-peak usage is the tipping point for most households.
• Bill variability: Day rates on Economy 7 are typically higher than single-rate deals. High daytime usage can push bills up, even under the price cap.
• Ofgem cap context: The cap limits a typical household’s annual cost, but does not fix your individual day or night rate. Suppliers price differently within the cap - comparisons are essential.
• Risks: Inconsistent routines, young children, or heavy daytime working can undermine savings. Incorrect meter setup or wrong timer settings can also lead to higher bills.

Short calculation check: If your day-to-night split is 60-40 and your daytime unit rate is materially higher than a comparable single-rate tariff, you must ensure night-rate savings more than offset the daytime uplift.

Who qualifies and what suppliers look for

• Metering: You need an Economy 7 meter or a compatible smart meter that records separate registers for day and night. If you have an older Radio Teleswitch Service meter, support is ending in 2025 - your supplier will arrange an upgrade.
• Property suitability: Homes with electric storage heating, immersion heaters, or EVs are strong candidates. Flats with limited daytime use can also work.
• Usage pattern: Suppliers may assess whether you can shift at least 40% of use into the off-peak window. A recent consumption breakdown helps.
• Credit and contract: Some providers run a credit check and may set a minimum term. Check exit fees and whether there is a meter installation charge.
• Regional factors: Off-peak hours and availability can vary by region and supplier. Confirm your local window before committing.

Pro tip: Ask the supplier to model your last 12 months of usage against their Economy 7 rates to estimate the impact before you switch.

Apply with confidence - step by step

1. Check if your meter supports separate day-night registers.
2. Confirm your supplier’s exact off-peak hours window.
3. Review last year’s usage and night-time share.
4. Compare Economy 7 rates across multiple suppliers.
5. Request a smart meter upgrade if required.
6. Submit application - expect credit check or terms.
7. Set timers for EV, heating, water and appliances.
8. Monitor bills and adjust usage after first month.

Weighing it up - advantages and drawbacks

Economy 7 is compelling when you can push substantial consumption into cheaper hours. The potential savings are real, supported by Ofgem’s cap framework, but disciplined routines are essential. Variations in off-peak windows and supplier pricing mean comparisons are not optional. Families with erratic schedules or high daytime usage may pay more overall because day rates run higher than single-rate tariffs. Smart meters reduce admin and simplify switching, and they open doors to future time-of-use products if Economy 7 proves a close fit rather than a perfect one.

Cautions before you commit

• Check the exact seven-hour window and BST handling. Timers must align.
• Ask for a bill projection based on your actual data.
• Factor any installation fees, exit fees, and minimum terms.
• If you have an RTS meter, arrange an upgrade well before 2025 deadlines.
• Plan routines: laundering, dishwashing, water heating and EV charging should primarily run overnight.

If you cannot schedule major loads at night, Economy 7 may cost more than a single-rate deal.

Alternatives worth a look

• Standard single-rate variable or fixed tariffs - simpler, often better for day-heavy users.
• Other time-of-use tariffs - some EV or smart tariffs offer multiple off-peak windows or dynamic pricing that could outperform Economy 7 if you are highly flexible.
• Energy efficiency - insulation, draught-proofing, and appliance upgrades can cut consumption regardless of tariff.

Create a shortlist, then compare unit rates, standing charges, contract terms, and off-peak windows against your usage data.

FAQs

Q: Do I need a special meter for Economy 7? A: Yes. You need an Economy 7 meter or a compatible smart meter that records day and night usage separately. Most suppliers can arrange upgrades.

Q: What are typical off-peak hours? A: They vary by supplier and region, usually somewhere between 11pm and 8am for seven hours. British Summer Time may shift the effective window.

Q: Does the Ofgem price cap fix my rates? A: No. It caps the typical annual cost, not your specific day and night rates. Suppliers price differently within the cap.

Q: How much night-time usage do I need to save? A: Aim for at least 40% off-peak usage. Homes with storage heating or EVs often reach or exceed this threshold.

Q: What if I have an old RTS meter? A: Support ends in 2025. Your supplier will contact you to upgrade to a smart or modern Economy 7 meter to maintain the tariff.

Q: Can I switch suppliers easily later? A: Yes, but check minimum terms and any exit fees. Regular comparisons are recommended to keep costs down.

Make your move with Switcha

• Gather 12 months of usage data if you can.
• Compare multiple Economy 7 offers using your real day-night split.
• Book a smart meter upgrade if needed.
• Set timers and track your first two bills, then fine-tune.

When you are ready, Switcha can help you compare, apply, and manage the switch with a clear view of costs and savings.

Important information

This guide is for general information only and not personalised advice. Tariff availability, off-peak hours and prices vary by supplier and region. Always confirm current rates, contract terms and meter requirements with your chosen provider.