Octopus is handing energy customers £140 off bills before January price cap rise

Octopus is handing customers £140 off energy bills off the back of the new January price cap forecast. Octopus Energy continues to innovate home heating with the launch of ‘Snug Octopus’, the UK’s first smart tariff for traditional electric storage heaters.

The savvy smart tariff automatically schedules traditional storage heaters to work their magic at the cheapest and greenest times, helping to balance the grid and keep customers cosy for less. ‘Snug Octopus’ offers up to 6 hours of cheap energy every night with an extra hour in the afternoon for a toasty boost at dinner time.

This allows average customers to save almost £140 a year compared to a standard Economy 7 tariff without needing to invest in other low carbon tech. Storage heaters work by storing heat generated during off-peak hours at night when energy prices are lower and releasing it throughout the day when energy costs are higher.

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What sets ‘Snug Octopus’ apart is the control it offers customers, empowering them to adjust their heater’s runtime as they desire. This allows them to easily cut down their energy usage and costs whenever they want, such as during warmer months.

Around 1.7 million homes in the UK currently use storage heaters, and over 180,000 housing association homes rely on them for heating. Rebecca Dibb-Simkin, Chief Product Officer at Octopus Energy Group, said: “Many homes struggling with fuel costs use electric storage heaters, making them especially vulnerable to rising energy prices.

“Snug Octopus is designed to help these customers take charge of their heating, adjusting it to fit their personal needs and schedules – all while enjoying the peace of mind that comes from using energy at the cheapest and greenest times."

Customers will be charged 9p/kWh for electricity when their heater is charging on their Snug schedule and during off-peak hours.