Everything you need to know about UK energy costs and saving money
← Back to CalculatorEnergy cost is calculated using the formula:
Daily cost = (Wattage ÷ 1000) × Hours used per day × Unit cost (£/kWh)
For example, a 2000W kettle used for 1 hour per day at £0.28/kWh costs: (2000 ÷ 1000) × 1 × 0.28 = £0.56 per day, or £16.80 per month.
Check the appliance's rating plate (usually on the back or bottom) for wattage (W) or power consumption. If only amperage (A) is listed, calculate watts using:
Watts = Amps × 230V (UK voltage)
For example, a device rated at 5A uses 5 × 230 = 1150W. You can also use a plug-in energy monitor for accurate real-time measurements.
A kilowatt-hour (kWh) is a unit of energy equal to using 1000 watts for one hour. It's how energy companies measure and bill your electricity usage. For example, a 100W light bulb running for 10 hours uses 1 kWh. At £0.28 per kWh, that 1 kWh costs 28 pence.
As of 2026, the average UK electricity price is approximately £0.24-£0.34 per kWh, depending on your region, supplier, and tariff type. Check your latest energy bill for your specific unit rate. Prices vary significantly between standard and Economy 7 tariffs.
It depends on your tariff. Economy 7 and Economy 10 tariffs offer cheaper electricity during off-peak hours (typically 11pm-7am for Economy 7). However, daytime rates are often higher to compensate. These tariffs benefit households that can shift heavy usage to night-time, such as running dishwashers, washing machines, or charging electric vehicles overnight.
The highest electricity consumers in UK homes are typically:
However, devices left on 24/7 like fridges and freezers also contribute significantly to annual costs.
A typical modern energy-efficient fridge-freezer (A++ rated, 200-300W) costs approximately £40-£60 per year to run. Older models (500W+) can cost £100-£150 annually. Since fridge-freezers run 24/7, upgrading to an energy-efficient model can save £50-£90 per year.
Phantom power is electricity consumed by devices when they're turned off but still plugged in. Common culprits include TVs, game consoles, phone chargers, microwaves with digital clocks, and computers. In the average UK home, standby power accounts for 9-16% of total electricity use, costing £45-£80 per year. Use power strips to easily switch off multiple devices.
Key ways to reduce electricity bills include:
Yes, for most appliances. Devices on standby consume 0.5-15W each, which adds up over time. Priority appliances to switch off include TVs, game consoles, phone chargers, microwaves, and desktop computers. However, some devices like smart TVs, broadband routers, and security systems may need to stay on for updates or functionality.
For electric heating:
Smart meters themselves don't save energy, but they provide real-time information about your energy usage, helping you identify high-consumption patterns and make informed decisions. Studies show households with smart meters typically reduce consumption by 2-10% through better awareness of their usage habits.
Save £35/year by switching to LEDs
Save £45-£80/year
Save 10% on heating costs
Use 40% less electricity
Save £11/year on kettle costs
Save £60/year vs tumble dryer
Based on average usage patterns and £0.28/kWh electricity rate:
| Appliance | Typical Wattage | Annual Cost |
|---|---|---|
| Fridge-Freezer (A++ rated) | 200-300W | £40-£60 |
| Washing Machine (3x/week) | 2000W | £25-£35 |
| Tumble Dryer (3x/week) | 2500W | £85-£120 |
| Dishwasher (5x/week) | 1500W | £40-£55 |
| Electric Oven (4hrs/week) | 2400W | £55-£70 |
| Kettle (5x/day, 3 mins) | 3000W | £35-£45 |
| TV (4hrs/day) | 100-150W | £15-£25 |
| Desktop Computer (8hrs/day) | 200W | £45-£55 |
| LED Light Bulb (5hrs/day) | 10W | £1.50-£2 |
| Electric Shower (30 mins/day) | 9000W | £150-£200 |