What Is Economy 7 Electricity?

Economy 7 is a two-rate electricity tariff that charges:

Cheaper night-time electricity for 7 hours

Lower rates during off-peak overnight hours.

More expensive daytime electricity for 17 hours

Higher rates during peak daytime hours.

It is designed for households that use a large proportion of electricity overnight, such as homes with storage heaters, immersion heaters, electric-only heating, or EV charging overnight.

Comparing Economy 7 electricity prices is essential because day and night rates vary significantly by supplier and postcode.

Economy 7 Day vs Night Rates Explained

Night Rates (Off-Peak)
30–60% Cheaper
  • Apply for 7 hours overnight
  • Exact times vary by region
  • Lower than standard tariffs
Day Rates (Peak)
Higher Than Standard
  • Apply for remaining 17 hours
  • Often higher than standard tariffs
  • Can wipe out night savings

To be cost-effective, most homes need to use at least 35–40% of electricity at night.

Economy 7 vs Standard Electricity: Which Is Cheaper?

Situation Economy 7 is Usually Cheaper Standard Tariff is Usually Cheaper
Usage Pattern Active night-time usage Mostly daytime usage
Heating Type Electric heating or EV charging Gas central heating
Lifestyle Night shift or timed usage Work from home
Property Type Flats with storage heaters Standard gas-heated homes

Who Should Still Use Economy 7 in 2026?

Economy 7 Works For:

  • Flats with storage heaters
  • Homes without gas supply
  • EV owners charging overnight
  • Properties with timed immersion heaters
  • Night-shift households

Consider Standard Tariffs:

  • Most usage during the day
  • Work from home arrangements
  • No longer have storage heaters
  • Low overnight electricity usage

Economy 7 Savings Calculator

Check if Economy 7 could save you money based on your usage

Night-time Electricity Usage 40%

Percentage of electricity used during off-peak hours

Economy 7 Recommendation:

Could Save Money

In 2026, the difference between cheapest and most expensive Economy 7 tariffs can exceed £400 per year.

Common Economy 7 Electricity Mistakes

Mistake 1

Staying on Economy 7 without night-time usage

Mistake 2

Comparing only night rates

Mistake 3

Ignoring high day rates

Mistake 4

Not reviewing tariffs after lifestyle changes

These mistakes can add hundreds of pounds per year.

Economy 7 Electricity and Smart Meters

Smart meters have improved Economy 7 comparisons by:

Exact Usage Tracking

Show precise day vs night electricity consumption.

Accurate Cost Calculations

Calculate real costs based on actual usage patterns.

Smart Tariff Options

Some offer flexible off-peak pricing.

Economy 7 electricity can still be cheap — but only for the right households.

Many homes overpay on outdated Economy 7 tariffs while standard electricity is often cheaper for daytime users. Accurate comparison is essential.

Compare Economy 7 Electricity Prices

Find out if you're still on the cheapest option with accurate day/night usage comparison.

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