With so many different tarrifs offered by energy suppliers, it can be hard to get your head around them. Here's what you need to know about the Economy 7 electricity tariff.
Economy 7 is a "time-of-use" electricity tariff with different pricing structures according to the time of day.
The electricity you use during the night costs less, per unit, than energy used during the day.
It's designed primarily to encourage customers to use electricity more when it is in less demand e.g. throughout the night.
This tariff might be ideal for shift workers or those who go to sleep late and wake up early.
But it can also work by putting timers on your appliances so that they come on when the off-peak rate kicks in (usually after midnight).
Is it cheaper?
If it's done right, an Economy 7 tariff could save you over £50 a year.
But it's important to bear in mind that Economy 7 tariffs can be more expensive than a standard tariff for energy used in the daytime.
And sot this could cancel out any savings made by using Economy 7 in the night time.
You'll usually need to use storage heaters and use the bulk of your electricity late at night.
It's important to make sure it's the right tariff for you - or it could end up costing you.
Economy 7 tariff - existing customers
You might be asked during the Confused.com utility comparison if you are on an Economy 7 tariff.
To find out if you’re on an Economy 7 tariff, have a look at your electricity meter; it will have 2 sets of dials/numbers to read.
One is for the day/high rate and the other is for the night/low rate.
Switching to Economy 7
If you want to switch to an Economy 7 tariff and do not have an economy 7 meter this will involve changing your meter.
The supplier can arrange this for you (sometimes they might charge you for this service).
If you want to come off an economy 7 tariff and have an economy 7 meter, you may be able to do this without changing your meter.
In order to clarify this, we would recommend that you contact your new supplier.