Can I get Economy 7 with a smart meter?

The practical obstacle is readiness rather than compatibility. If you have storage heaters, and are on Economy 7 or Economy 10, and your supplier does not offer smart meters that work with Economy 7 or 10 yet, you may have to wait or move supplier³. All energy suppliers are obliged to offer their customers a smart meter before the end of the rollout, even if they use specific appliances like storage heaters³.

Installation itself costs nothing. You can get a smart meter installed by your energy supplier at no extra cost⁴, and installation is free⁵. There is currently no requirement for suppliers to install a smart meter on request, but you can request one from your supplier if you have not already been offered one¹.

How a smart meter records Economy 7 in dual-rate mode

Economy 7 electricity meters offer a two-tier rate system for electricity, with usage during the day and the night charged at different rates, the nightly rate being less expensive⁷. A smart meter in Economy 7 mode does the same job electronically: some electricity smart meters show separate readings for day and night tariffs, Economy 7 pricing, and peak and off-peak usage⁸.

On a traditional Economy 7 meter, the display shows two readings, one for on-peak hours (marked "normal" or "day") and one for off-peak hours ("low" or "night"), possibly shown as Rate 1 and Rate 2⁹. These two sets of numbers are typically marked "low" and "normal"¹⁰. Electricity unit rates are either a single unit rate or a dual rate, which provides two meter readings and is usually called Economy 7¹¹. The National Energy Action guidance for households lists the same identifiers: two meter readings, a low or off-peak rate, a normal, high or on-peak rate, or a button to press to see each rate on an electronic meter¹².

A smart meter removes the need to read those registers by hand. It records both rates automatically and sends them to the supplier, which is why the same meter can serve an Economy 7 tariff, a fixed rate tariff, or a newer time-of-use tariff without a physical exchange¹⁰. The rate you pay does not change just because a smart meter is fitted: your rate will not change with a smart meter, unless you change your energy tariff at the same time¹³.

Suppliers that install Economy 7-compatible smart meters

Supplier readiness is the variable that decides whether a household can get an Economy 7 smart meter now. You can get a smart meter combined with an Economy 7 tariff, but not all suppliers offer this¹⁴. If you have an Economy 7 or 10 electricity supply, you can get a smart meter as part of the national smart meter rollout, but it depends on which supplier is ready to install one, and smart meters of this type will be available at larger scale later in the rollout¹⁵.

The obligation on suppliers is general rather than tariff-specific. All energy suppliers are obliged to offer their customers a smart meter before the end of the rollout, even if they use any specific appliances, like storage heaters³. Under the Rollout Framework for 2022 to 2025, energy suppliers were required to meet binding annual targets for installing smart and advanced meters¹⁶. Ofgem's own stated expectation is that suppliers are ensuring customers who want a smart meter can receive one quickly¹⁷.

Where a supplier cannot yet provide an Economy 7 or Economy 10 smart meter, the household has three routes: wait for larger-scale availability later in the rollout¹⁵, ask the current supplier to arrange a credit meter, which may cost a fee¹⁸, or change supplier to one that is ready. If you do not already have an Economy 7 meter, your chosen supplier will need to install a new one¹⁴.

Switching away from Economy 7 without a meter exchange

A smart meter is compatible with Economy 7 tariffs, fixed rate tariffs and newer time-of-use tariffs, and it allows switching tariffs without changing the meter¹⁰. That means a household on Economy 7 can move to a single-rate tariff without a meter exchange, provided the meter is already a smart meter. The rate itself only changes when the tariff changes: your rate will not change with a smart meter, unless you change your energy tariff at the same time¹³.

For households no longer on an Economy 7 or Economy 10 tariff, there is no rush. The meter will continue to function normally and, providing all electricity is on one circuit, there should be no difference, though the Centre for Sustainable Energy recommends smart meters²⁰. Where a household wants to leave Economy 7 but does not have a smart meter, the route is to talk to the current supplier and arrange for a credit meter to be installed, which may cost a fee¹⁸.

Switching supplier with a smart meter is possible, but the new supplier might not offer all smart meter services such as remote meter readings, and the meter may need replacing²¹. Except by switching, you do not control the tariff your energy supplier sets, though you can change how much energy you use²².

Economy 7, Economy 10 and time-of-use tariffs: what meter each needs

Economy 7 and Economy 10 are older time-of-use tariffs that need compatible meters, while newer flexible tariffs typically need a smart meter²³. Economy 7 and Economy 10 use fixed cheaper periods, while newer EV and tracker tariffs can be more dynamic and usually work best with a smart meter²³. Customers need a smart meter to get all the benefits from new flexible energy tariffs²³.

Economy 10 is the narrower case. Economy 10 tariffs require a specific type of meter which can record and keep separate how much energy you have used in the peak and off-peak hours²⁴. You might be able to get a smart meter with your Economy 10 tariff, but this depends on which energy supplier you are with²⁴. Economy 10 tariffs do not work with existing smart meters, and many energy suppliers do not sell tariffs for them²⁵. You can request an Economy 10 meter from your energy supplier, but they may charge you to do so, while a smart meter is requested at no additional cost¹⁰.

Smart meters enable time-of-use tariffs, where you are charged different amounts for electricity used at different times²⁵. For a household weighing up which restricted meter suits it, the comparison between Economy 7 and Economy 10 sets out the hours and rate structures, and the wider guide to time-of-use tariffs covers the newer flexible products.

The storage-heater gap and the RTS switch-off

The storage-heater gap is the point where compatibility and supplier readiness diverge. A household with storage heaters on Economy 7 or Economy 10 may find its supplier does not yet offer smart meters that work with those tariffs³, even though the supplier is obliged to offer a smart meter before the end of the rollout³. In Northern Ireland, the Sustainable Energy Programme provides replacement electric high heat retention storage heaters for properties with Economy 7 at the time of application²⁶, which keeps the tariff relevant for those homes.

The Radio Teleswitch Service switch-off adds a deadline for some, but not all, Economy 7 households. Some older Economy 7 meters use the RTS service and will be affected, but not all Economy 7 meters²⁷. Anyone with these systems on Economy 7 or Economy 10 tariffs will need a new meter to ensure their heating and hot water continue turning on and off as usual²⁰. Where a smart meter cannot be fitted because of a lack of signal, the supplier will usually install a non-communicating smart meter preset to switch between tariffs, or a non-smart meter on request²⁰. The RTS switch-off guide covers which meters are caught.

Prepayment, solar and installation conditions

Prepayment is not a barrier. All smart meters can be switched between prepay and credit mode, so anyone eligible for a smart meter is eligible for a prepay meter⁶. If you already prepay for your energy, a smart meter can be set to pre-payment mode²⁸. On older digital and prepayment Economy 7 meters, each reading is accessed by pressing a button, sometimes marked Rate 1 and Rate 2²⁹.

Solar households face a similar readiness question to storage-heater households. If you have solar panels, or generate renewable electricity, you could still have a smart meter installed, but some energy suppliers are not yet ready to supply smart meters to customers with solar panels⁶. You can ask your supplier to install your smart meter with the extra functionality switched off³⁰.

Where installation is genuinely impossible, the rules recognise it. If an energy supplier is unable to physically install a smart meter, a timely appointment would not be necessary under the installation appointment standard³¹. Smart meter performance statistics are published for suppliers with over 150,000 customers in England, Scotland and Wales³². Smart meters are optional in Wales, but without one a household misses out on easier billing and innovative tariff options¹⁹.