Off-peak business electricity tariffs charge different prices depending on when electricity is used. The cheapest units are normally available overnight or outside periods of high national demand, while electricity used during peak hours costs more.
These tariffs can reduce costs for businesses that operate overnight, charge electric vehicles, run refrigeration continuously or can schedule energy-intensive equipment outside peak periods.
They are not automatically cheaper. A business with predominantly daytime consumption could pay more because the peak unit rate may be considerably higher than the equivalent single-rate price.
The right comparison therefore depends on your actual consumption profile, not simply the size of the advertised night-rate discount.
If you already use a substantial amount of electricity overnight, compare prices for business energy tariffs using both single-rate and multi-rate quotations.
Important: The rates and calculations in this guide are illustrative. Business electricity prices depend on your meter, location, consumption, contract length and the wholesale market when you request a quote.
Off-peak business electricity tariffs: the quick answer
An off-peak tariff is likely to suit your business when:
- A significant proportion of electricity is already used overnight.
- Equipment can be scheduled without disrupting customers or production.
- Electric vehicles can be charged during the cheapest periods.
- Refrigeration, pumping, heating or manufacturing processes operate continuously.
- Your meter can record consumption in the relevant time periods.
- Savings on off-peak units outweigh higher peak rates and fixed charges.
A single-rate tariff may be better when:
- Most electricity is used during normal office or retail hours.
- Your busiest period coincides with the tariff’s most expensive band.
- Operations cannot be moved to another time.
- The night-rate saving is small compared with the daytime premium.
- A meter change, data contract or additional fixed charge removes the apparent saving.
There is no universal percentage of overnight use that makes an off-peak tariff cheaper. The break-even point must be calculated from the prices in the specific quotations.
What is an off-peak business electricity tariff?
An off-peak business electricity tariff charges a lower unit price during specified periods and a higher price at other times.
The tariff could have:
- One daytime rate and one night rate.
- Separate night, daytime and evening-peak rates.
- Cheaper evening and weekend electricity.
- Several fixed time bands.
- Prices that change every half-hour according to market conditions.
The term “off-peak” does not refer to one nationally fixed period. The qualifying hours depend on the tariff, meter, supplier, electricity distribution region and sometimes the season.
For example, the Ofgem Economy 7 guide says the seven-hour period usually runs around midnight to 7am, but confirms that times vary by location and supplier.
Commercial products can use completely different periods. A business tariff might make electricity cheaper overnight, at weekends or throughout most of the day while charging a substantial premium during the evening peak.
The difference between a meter, tariff and settlement arrangement
These terms are often confused, but they describe different things.
| Term | What it controls |
|---|---|
| Meter | Measures how much electricity the premises uses |
| Meter register | Records consumption assigned to a particular rate or circuit |
| Tariff | Determines the price applied to each unit of electricity |
| Settlement | Determines how the supplier’s electricity purchases are reconciled within the market |
| Billing frequency | Determines how often the supplier sends an invoice |
A two-rate meter does not guarantee that the current tariff has a competitive night rate. Similarly, a smart or half-hourly meter does not mean the business has automatically moved onto time-of-use prices.
A business can have:
- A multi-rate meter billed using separate day and night prices.
- A multi-rate meter whose registers are combined and billed at one rate.
- A half-hourly meter on a single fixed unit rate.
- A smart meter on a three-rate or dynamic tariff.
- A legacy restricted meter controlling a separate heating circuit.
Check the physical meter, latest invoice and signed contract before assuming how the supply is being charged.
Economy 7 for businesses
Economy 7 is the best-known two-rate electricity arrangement. It provides seven hours of lower-priced electricity, normally overnight, and charges a higher rate for the remaining 17 hours.
Although Economy 7 is commonly associated with households and storage heating, some commercial premises also have Economy 7 or comparable day-and-night meters.
Business energy suppliers may describe similar arrangements as:
- Economy 7
- Day and night
- Two-rate
- Dual-rate
- Low rate
- Night rate
- Off peak
- Evening and weekend
- Restricted hours
Availability depends on the supplier and meter configuration. A supplier offering an unrestricted business tariff does not necessarily support every Economy 7 or complex-meter arrangement.
What meter is needed for Economy 7?
You normally need a meter capable of recording peak and off-peak consumption separately. This could be:
- A traditional meter with two registers.
- An advanced meter configured for separate periods.
- A compatible smart meter.
- A more complex meter with several registers or controlled circuits.
The registers may be labelled:
- Day and night
- Normal and low
- Peak and off peak
- Rate 1 and Rate 2
- R1 and R2
Do not assume Rate 1 is always the day register. Register labelling varies between meter models and suppliers.
Compare the readings at two different times or ask the supplier to confirm which register corresponds to each tariff period.
Economy 7, Economy 10 and time-of-use tariffs compared
| Tariff type | Typical structure | Main advantage | Main risk |
|---|---|---|---|
| Single rate | One unit price throughout the day | Simple and predictable | No reward for overnight use |
| Economy 7 | Seven cheaper hours, normally overnight | Can suit overnight equipment, heating and EV charging | Higher daytime rate |
| Economy 10 | Ten cheaper hours, sometimes split across several periods | More opportunities to use lower-priced electricity | Complex hours and limited availability |
| Day and night | Two supplier-defined periods | Straightforward for businesses with overnight consumption | Night period may not match operating hours |
| Evening and weekend | Lower rate outside weekday business hours | Can suit hospitality, leisure or weekend operations | Weekday daytime consumption may be expensive |
| Three-rate time of use | Separate night, day and peak prices | More closely rewards flexible consumption | Peak rate can be particularly high |
| Dynamic tariff | Prices change every half-hour | Potential savings for highly flexible businesses | Costs are less predictable |
| Flexible purchasing contract | Energy purchased in tranches or against market prices | Greater procurement control for large users | Requires expertise and active risk management |
Economy 10 and other complex arrangements can have cheaper periods split between the afternoon, evening and overnight hours. The exact schedule must be confirmed with the supplier.
When is off-peak electricity cheapest?
There is no single set of UK business off-peak hours.
Traditional Economy 7 periods are commonly found somewhere between approximately 11pm and 8am. The customer receives seven cheaper hours within that wider window.
However, your precise times may depend on:
- The electricity distribution region.
- The supplier.
- The meter’s time-switch configuration.
- Whether the meter follows Greenwich Mean Time or British Summer Time.
- Whether the off-peak period is continuous or split.
- Weekdays, weekends and bank holidays.
- Seasonal tariff rules.
- A remotely controlled or legacy restricted-meter arrangement.
Some traditional meters do not automatically adjust when the clocks change. As EDF explains in its Economy 7 guidance, the apparent off-peak period can therefore move by an hour between GMT and British Summer Time.
Ask your supplier to provide the applicable schedule in writing. Do not rely solely on a general internet list of Economy 7 hours.
Multi-rate business electricity tariffs
A multi-rate tariff can have two, three or more unit prices.
A simple tariff may divide consumption into:
- Night
- Day
A more granular tariff could use:
- Night
- Day
- Evening peak
Other products may include separate weekend prices or several half-hourly bands.
As of August 2026, one example in the business market is Octopus Shape Shifters. Its Trio product uses fixed night, day and peak periods, while Agile prices change every half-hour. Product availability and terms can change, so this is an illustration rather than a supplier recommendation.
The important question is not how many rates the tariff has. It is whether those rates match the times at which your business consumes electricity.
What is a time-of-use business tariff?
A time-of-use tariff charges different electricity prices during specified periods.
There are two main versions.
Static time-of-use tariff
The time periods and prices are set in advance.
For example:
| Period | Illustrative time | Illustrative rate |
|---|---|---|
| Night | Midnight–7am | 16p/kWh |
| Day | 7am–4pm and 7pm–midnight | 24p/kWh |
| Peak | 4pm–7pm | 38p/kWh |
This structure provides predictable prices but rewards the business for avoiding the most expensive period.
Dynamic time-of-use tariff
The unit price changes frequently, potentially every half-hour. Prices may be published one day in advance and reflect wholesale market conditions more closely.
A dynamic tariff can suit a business with:
- Automated energy management.
- Battery storage.
- Flexible EV charging.
- Controllable refrigeration or heating.
- Manufacturing processes that can be rescheduled.
- Staff able to monitor and respond to daily prices.
It can be unsuitable when consumption is inflexible or the business needs a precisely predictable monthly budget.
Are off-peak business tariffs covered by the energy price cap?
No. The domestic energy price cap does not protect business energy contracts. Customers with business energy contracts are not covered by the price cap.
This means there is no regulated maximum business day rate, night rate or standing charge. Suppliers calculate commercial quotations individually, and prices can vary considerably.
Always compare quotations prepared for the same:
- MPAN and premises.
- Annual consumption.
- Day and night usage split.
- Contract start date.
- Contract length.
- Payment method.
- Meter arrangement.
- Fixed or pass-through cost structure.
How to calculate whether an off-peak tariff is cheaper
Do not compare the night rate in isolation. Calculate the complete annual cost of each option.
Single-rate annual cost
The basic calculation is:
Annual kWh × single unit rate + annual standing charges
Two-rate annual cost
The equivalent calculation is:
Day kWh × day rate + night kWh × night rate + annual standing charges
You should then account for any additional metering, data, capacity and pass-through charges.
Worked example: 50,000 kWh of annual electricity
Consider a business using 50,000 kWh per year.
It receives these illustrative quotations:
| Charge | Single-rate tariff | Day-and-night tariff |
|---|---|---|
| Single unit rate | 25p/kWh | Not applicable |
| Day rate | Not applicable | 29p/kWh |
| Night rate | Not applicable | 16p/kWh |
| Standing charge | 80p/day | 120p/day |
These prices are illustrative and exclude VAT, Climate Change Levy and additional meter-specific charges.
Cost on the single-rate tariff
- Electricity: 50,000 kWh × £0.25 = £12,500
- Standing charge: £0.80 × 365 = £292
- Total: £12,792 per year
Results at different levels of overnight use
| Night-time proportion | Night kWh | Day kWh | Multi-rate annual cost | Difference from single rate |
|---|---|---|---|---|
| 25% | 12,500 | 37,500 | £13,313 | £521 more expensive |
| 33% | 16,500 | 33,500 | £12,793 | Approximately equal |
| 40% | 20,000 | 30,000 | £12,338 | £454 cheaper |
In this example, the day-and-night tariff becomes competitive when approximately one-third of annual electricity is used during the cheaper period.
The large difference between the 16p night rate and 25p single rate initially looks attractive. However, the business also pays a 29p day rate and an additional £146 per year in standing charges.
That is why comparing the night rate alone produces a misleading result.
If your contract is approaching renewal, compare prices for business energy tariffs using your actual day, night or half-hourly consumption.
How to calculate the break-even percentage
The exact break-even proportion can be calculated as follows:
Break-even off-peak proportion = (day rate − single rate + extra fixed cost per kWh) ÷ (day rate − night rate)
For the worked example:
- Day rate: 29p/kWh
- Single rate: 25p/kWh
- Night rate: 16p/kWh
- Additional standing charge: £146 per year
- Annual consumption: 50,000 kWh
- Additional fixed cost per unit: 0.292p/kWh
The calculation is:
(29 − 25 + 0.292) ÷ (29 − 16) = 33%
Without the higher standing charge, the break-even point would be approximately 31%.
A rule of thumb suggesting that 30% of electricity must be used at night may therefore be reasonable for one set of rates but completely wrong for another.
Which businesses are most likely to benefit?
Off-peak tariffs tend to work best where significant electricity use already occurs outside conventional business hours.
| Business type | Potential fit | Relevant consumption |
|---|---|---|
| Bakery | Strong | Ovens, mixers and proofing equipment used before opening |
| Cold storage facility | Strong | Refrigeration running throughout the night |
| Supermarket or convenience store | Moderate to strong | Continuous refrigeration and overnight restocking |
| Laundrette | Moderate | Washers and dryers that can operate during cheaper periods |
| Manufacturing plant | Strong where night shifts operate | Machinery, pumping, compressed air and batch production |
| Warehouse | Moderate | Night shifts, charging equipment and refrigeration |
| EV fleet depot | Strong | Managed overnight vehicle charging |
| Hotel | Moderate | Hot water, laundry, kitchens and continuous services |
| Care home | Moderate | Laundry, hot water and 24-hour operations |
| Leisure centre | Moderate | Pool circulation, pumps and water heating |
| Data centre | Potentially strong | Continuous base load |
| Farm | Moderate to strong | Milking, cooling, pumping and controlled equipment |
| Office | Usually weak | Most consumption occurs during daytime hours |
| School | Usually weak | Consumption is concentrated on weekday days |
| Restaurant | Depends on peak period | Evening demand may coincide with expensive tariff bands |
These are only general indicators. Two businesses in the same sector can have very different load profiles.
For example, a bakery that starts production at 2am may benefit substantially, while a bakery that prepares products during the afternoon may not.
How to find your current day and night consumption
Use at least 12 months of data where possible. This captures seasonal changes and avoids basing a long-term contract on one unusual month.
Check your electricity bills
A multi-rate business electricity bill may show separate lines for:
- Day kWh
- Night kWh
- Rate 1
- Rate 2
- Normal
- Low
- Peak
- Off peak
- Evening or weekend
Add the consumption for each register across the complete year.
Download smart or half-hourly data
If the business has a smart or half-hourly meter, request interval data from:
- The supplier’s online portal.
- The energy supplier.
- The Meter Operator or data-service provider.
- An energy-management platform.
- Your broker, where its authority includes access to consumption data.
A CSV file containing half-hourly values allows each period to be mapped against the proposed tariff schedule.
Read our guides to half-hourly energy meters and MOP, Data Collector and Aggregator contracts for more detail.
Check the data quality
Look for:
- Missing intervals.
- Estimated or substituted values.
- Duplicate readings.
- Incorrect meter multipliers.
- Clock or daylight-saving errors.
- Unexplained changes in the load profile.
- Data belonging to a previous occupier or another MPAN.
Poor data can make an unsuitable tariff appear cheaper.
Half-hourly settlement and time-of-use tariffs
Market-wide Half-Hourly Settlement, or MHHS, is changing how electricity consumption is settled across Great Britain.
The reform is intended to make more detailed consumption information available to the market and support more innovative tariffs and flexibility services. Under the current official timetable, the migration-completion milestone is scheduled for May 2027.
Read our current MHHS guide for UK businesses or check the official MHHS programme milestones.
MHHS does not automatically:
- Put a business onto a time-of-use tariff.
- Change an existing fixed unit rate.
- Replace every electricity meter.
- Make every meter communicate successfully.
- Change monthly billing into half-hourly billing.
- Guarantee that an off-peak product will be cheaper.
A migrated MPAN can remain on a single-rate contract. The main opportunity is that suppliers may increasingly use the site’s actual load shape when designing and pricing future contracts.
MHHS applies to Great Britain. Northern Ireland operates through a separate electricity market.
Costs to compare beyond the unit rates
A tariff comparison should include every contractual cost, not just day and night prices.
Standing charge
The multi-rate tariff may have a higher daily standing charge. This can make a substantial difference for low-consumption premises.
Read more about business electricity standing charges.
Metering and data charges
A half-hourly supply may include separate charges for:
- Meter operation.
- Data collection.
- Data aggregation.
- Communications.
- Meter asset rental.
Check whether these are included in the supplier’s standing charge or invoiced under a separate contract.
Capacity charges
Some larger or half-hourly sites pay charges connected to agreed supply capacity.
Moving several machines, chargers or heating systems into the same cheap period can create a new demand peak. If this exceeds the site’s agreed capacity, the additional charge could reduce or eliminate the tariff saving.
Use managed controls to stagger large electrical loads rather than switching everything on at the beginning of the off-peak window.
Network and policy costs
Commercial electricity prices can include or pass through charges such as:
- Distribution Use of System charges.
- Transmission charges.
- Balancing costs.
- Capacity Market costs.
- Renewable and low-carbon policy charges.
Ask whether these costs are fully fixed, passed through or subject to later reconciliation. Our guide to non-commodity business energy charges explains the main components.
Climate Change Levy
The Climate Change Levy normally applies to qualifying non-domestic electricity consumption.
From 1 April 2026, the main electricity rate is £0.00801 per kWh, equivalent to 0.801p per kWh, according to the current GOV.UK Climate Change Levy rates.
Because the levy is generally based on total qualifying consumption rather than the time at which electricity is used, it will not normally change the off-peak break-even percentage when total kWh remains the same.
VAT
Most business energy is subject to 20% VAT, although qualifying low consumption and certain charitable uses can receive the reduced rate.
HMRC’s fuel and power VAT notice states that electricity supplied at no more than an average of 33 kWh per day, or 1,000 kWh per month, can qualify for reduced-rate VAT.
Check whether quoted prices include or exclude VAT before comparing them.
Can a business save by moving consumption off peak?
Yes, provided the operational cost of changing the schedule is lower than the energy saving.
Potential opportunities include:
- Charging fleet vehicles overnight.
- Heating stored water during cheaper periods.
- Scheduling laundry, dishwashing or cleaning equipment.
- Running pumps or water-treatment processes overnight.
- Moving batch manufacturing to a lower-priced period.
- Charging a commercial battery when prices are low.
- Staggering refrigeration defrost cycles.
- Pre-cooling appropriate refrigerated spaces.
- Charging forklifts and material-handling equipment.
- Building compressed-air reserves outside peak hours.
Changes should comply with:
- Equipment manufacturer instructions.
- Food-safety and temperature requirements.
- Fire and electrical safety procedures.
- Employee working-time requirements.
- Planning or noise restrictions.
- The site’s maximum import capacity.
- Operational and customer-service needs.
Saving 5p per kWh is not worthwhile if rescheduling creates greater staffing, maintenance or production costs.
EV charging and off-peak business electricity
Fleet charging is one of the clearest potential uses for an off-peak tariff.
A business can reduce costs by:
- Charging vehicles overnight.
- Prioritising vehicles according to departure time.
- Reducing charger output during expensive periods.
- Staggering charging to avoid a demand spike.
- Using load management to remain within site capacity.
- Coordinating charging with solar generation or battery storage.
However, compare the tariff for the whole premises. A low EV charging rate can be offset by a higher price for lighting, refrigeration, machinery and other daytime electricity.
A site with 10,000 kWh of annual vehicle charging should not accept a specialist tariff without modelling the price applied to its remaining consumption.
Solar panels, batteries and time-of-use prices
Solar panels generally reduce daytime grid imports. This can change the proportion of imported electricity that falls into each tariff band.
For example:
- Solar generation can reduce purchases during a daytime rate.
- A battery can store solar electricity for use during an expensive evening peak.
- A battery can charge from the grid overnight and discharge during peak prices.
- Automated controls can choose between importing, storing and exporting electricity.
The economics must include:
- Battery charging and discharge losses.
- Battery degradation.
- Installation and finance costs.
- Export-tariff income.
- Site capacity.
- The difference between import prices in each period.
- Any restrictions in the import or export contract.
Read more about business solar panels before treating a tariff saving as the complete investment case.
Do you need a new meter?
Possibly, but not always.
A supplier may be able to:
- Reconfigure a compatible smart meter.
- Combine or separate existing registers.
- Change the tariff without replacing the meter.
- Install a new smart or advanced meter.
- Replace an unsupported complex meter.
- Arrange a different half-hourly metering setup.
Before agreeing to a change, ask:
- Is the existing meter compatible with the tariff?
- Will the meter be reprogrammed or replaced?
- Is there an installation charge?
- Will the supply need to be interrupted?
- Are new MOP or data-service charges required?
- Will any controlled heating or equipment circuit continue working?
- How will final readings from the old registers be recorded?
- When will the new prices begin?
- What happens if the meter does not communicate?
- Can the premises return to a single-rate tariff later?
Our business electricity meter installation guide explains the parties and processes involved.
Check for a Radio Teleswitch meter
Some older Economy 7 and restricted meters use the Radio Teleswitch Service, or RTS, to change between peak and off-peak periods or control heating equipment.
The phased RTS switch-off began on 30 June 2025 and is now taking place area by area. Ofgem warns that an affected meter may no longer switch correctly once its supporting signal is removed. This can affect businesses as well as households.
Contact the supplier if:
- The meter or a nearby box has an RTS label.
- Electricity automatically switches between separate circuits.
- The premises uses an older restricted-hours tariff.
- Heating, hot water or equipment is activated remotely.
- The displayed register or operating time appears incorrect.
- The supplier has previously contacted you about a replacement.
Do not simply change the tariff if a controlled circuit relies on the existing meter. Confirm that the replacement arrangement will continue to operate the relevant equipment.
How to compare off-peak business electricity quotes
1. Collect 12 months of consumption
Obtain:
- Total annual kWh.
- Day and night register consumption.
- Half-hourly data where available.
- Seasonal changes.
- Maximum demand information.
- Details of any planned EVs, machinery, solar or batteries.
2. Confirm the exact tariff periods
Ask for the precise:
- Start and end times.
- Weekday and weekend rules.
- Bank-holiday treatment.
- Seasonal changes.
- GMT and British Summer Time treatment.
- Peak, shoulder and off-peak definitions.
Get the answer in writing.
3. Compare total annual costs
Apply every quoted rate to the corresponding consumption period.
Include:
- Unit charges.
- Standing charges.
- Metering and data charges.
- Capacity costs.
- Fixed and pass-through charges.
- Broker commission.
- VAT and Climate Change Levy where applicable.
4. Model future operational changes
Historical consumption may not represent the next contract period.
Adjust the calculation for:
- Additional electric vehicles.
- Longer opening hours.
- New refrigeration or machinery.
- Heat pumps or electric heating.
- Solar panels.
- Battery storage.
- A planned move or site closure.
- Changes in production volume.
5. Compare a single-rate alternative
Always request a comparable single-rate price. Without one, you cannot calculate whether the multi-rate structure creates a genuine saving.
6. Check the contract terms
Confirm:
- Contract length.
- Contract start date.
- Whether rates are fully fixed.
- Exit or termination provisions.
- Minimum or maximum volume conditions.
- Treatment of change of tenancy.
- Meter installation obligations.
- Broker commission.
- What happens at contract expiry.
If the current agreement is approaching its end, read our business energy contract renewal guide.
Questions to ask a supplier or broker
Before accepting an off-peak quotation, ask:
- What are the exact prices for every time band?
- What are the exact start and finish times?
- Do the periods change at weekends or during British Summer Time?
- What percentage of my consumption has been assigned to each band?
- Has the calculation used actual or estimated data?
- Is the standing charge different from the single-rate option?
- Are metering and data costs included?
- Are network and policy costs fixed or passed through?
- Is my existing meter compatible?
- Will any controlled circuits continue working?
- Could simultaneous overnight equipment create capacity charges?
- What commission or third-party fee is included?
- What happens if the meter fails to communicate?
- Can I receive the complete quotation and principal terms in writing?
Common off-peak tariff mistakes
Comparing only the night rate
A very low night rate is attractive, but the higher day or peak rate may apply to most of the business’s consumption.
Using a generic 30% rule
The required off-peak percentage depends on the actual rates and fixed charges. Calculate the break-even point for each quote.
Assuming midnight to 7am applies
Economy 7 times vary. Some meters also follow GMT throughout the year, changing the apparent clock time during summer.
Ignoring the standing charge
A higher daily charge can remove much of the saving, particularly for a low-consumption site.
Using one month of data
A hotel, school, farm or leisure centre may have substantial seasonal variation. Use a full year where possible.
Moving every load to the same time
Starting all chargers and equipment when the cheap period begins can create a new site-demand peak.
Confusing settlement with tariff pricing
Half-hourly settlement does not automatically mean the business is charged a different rate every half-hour.
Forgetting operational costs
Extra staffing, noise restrictions, maintenance and reduced productivity may cost more than the electricity saving.
Assuming the business price cap applies
Commercial electricity contracts are not protected by the domestic price cap.
Failing to check the meter
Incorrect register mapping, clock settings or estimated data can result in the wrong consumption being charged at the wrong rate.
Single-rate or off-peak tariff: which should you choose?
| Your consumption profile | Tariff worth investigating |
|---|---|
| Almost all electricity used between 8am and 6pm | Single rate |
| More than one-third used overnight | Day-and-night tariff |
| High consumption outside 4pm–7pm | Three-rate time-of-use tariff |
| Substantial evening and weekend use | Evening-and-weekend tariff |
| Flexible equipment with automated controls | Dynamic tariff |
| Continuous 24-hour base load | Compare single and multi-rate carefully |
| Overnight EV fleet charging | Off-peak or EV-compatible business tariff |
| High and unavoidable evening peak demand | Single rate may be safer |
| Solar and battery system | Model a time-of-use tariff using import and export data |
| No reliable interval data | Obtain data before committing to a complex tariff |
These are starting points rather than universal recommendations. The annual-cost calculation should determine the final decision.
Frequently asked questions
Yes, some commercial premises have Economy 7 or equivalent two-rate electricity arrangements. Availability depends on the supplier, meter and premises.
Traditional Economy 7 usually provides seven cheaper overnight hours, often somewhere between 11pm and 8am. Exact hours vary by supplier, region and meter.
Only when the business is on a tariff that provides a lower night rate. A single-rate contract charges the same unit price regardless of time.
There is no universal percentage. In the worked example in this guide, the break-even point is approximately 33%, but different prices can produce a much higher or lower result.
No. Economy 7 normally charges a higher daytime rate. A business with low overnight use could pay more.
A compatible smart meter can support tariffs with different time periods, but installing a smart meter does not automatically move the business onto an off-peak tariff.
No. Economy 7 normally uses two broad rate periods. A half-hourly meter records consumption in 30-minute intervals and can support more granular pricing.
No. MHHS concerns electricity settlement. A migrated business can remain on a single-rate fixed contract unless it agrees to different retail terms.
Potentially. The supplier may combine the meter registers, reconfigure a smart meter or replace the meter. Available options depend on the equipment and supplier.
No. Some tariffs provide cheaper weekend electricity, but Economy 7 and other night-rate arrangements do not automatically make the entire weekend off peak.
They can. Some traditional meters remain set to GMT, causing the displayed off-peak period to shift by an hour during British Summer Time. Confirm the treatment with the supplier.
Potentially. Suitability depends on charger compatibility, site capacity, vehicle schedules and the price applied to the rest of the premises.
A battery can charge during low-price periods and discharge when prices are higher. The calculation must account for efficiency losses, degradation, installation costs and contract terms.
Contact the electricity supplier. The RTS signal is being phased out, and the supplier should arrange a suitable replacement where required.
Compare off-peak business electricity prices
Off-peak business electricity tariffs can create meaningful savings when the tariff periods match the way your organisation operates.
The most suitable product may be:
- A simple day-and-night tariff.
- Economy 7.
- An evening-and-weekend arrangement.
- A three-rate time-of-use contract.
- A dynamic half-hourly tariff.
- A conventional single-rate agreement.
The cheapest option cannot be identified from the headline night rate. It requires a comparison of actual consumption, every unit rate, standing charges, meter costs and contract terms.
Compare prices for business energy tariffs to see whether a single-rate or off-peak electricity contract offers the lower overall cost for your premises.