Let's talk

Beyond Tariffs: GB Household flexibility market monitor

Energy transition Flexibility research Residential research Customer & market insight

Exploring how GB households are engaging with emerging flexibility propositions.

Household flexibility is moving beyond traditional tariffs. Drawing on data from five major suppliers covering 19 million households, this report provides a clear view of how smart tariffs, add-ons, and asset-enabled propositions are gaining traction. It highlights early but meaningful uptake, rapid growth in EV and heating propositions, and rising compatibility between suppliers and technology brands. 

Who should read this report?

This report provides valuable insights for a range of stakeholders in the GB energy market:

  • Government and regulators: To gain visibility into innovative retail flexibility efforts and inform policy decisions, regulation, and consumer protections in this nascent market.
  • Energy suppliers and retailers: To benchmark performance, identify emerging market trends, and understand the range of successful flexibility and tariff strategies across the market.
  • Low carbon technology manufacturers: To understand which technologies (EVs, Heat Pumps, Batteries) are gaining the most traction, the growing need for interoperability, and the value of partnerships with energy suppliers.
  • Investors and financial institutions: To assess the commercialisation and household uptake risks and opportunities within the rapidly growing GB residential flexibility sector.

Beyond Tariffs: GB Household flexibility market monitor

Read the report

Study finds at least 1 in 5 households choose to shift demand to save on their energy bills

Read press release

Scroll down for further insights

Subscribe to our thinking

Get relevant insights, leading perspectives and event invitations delivered right to your inbox.
Get started to select your preferences.

Subscribe

Some of our key findings

  • Smart Time of Use (ToU) tariffs adoption

    250k households
    This demonstrates a strong recent trend towards modern, dynamic tariffs which require a smart meter to record half-hourly usage and price changes, contrasting with the 2 million households still on older, static ToU tariffs like Economy 7.
  • Households adopting autonomous energy management

    300k customers
    This trend toward ‘autonomous’ control, where the supplier makes real-time optimisation decisions within customer-set parameters, delivers simple, hassle-free value and the best rates to the household.
  • Growth of flexibility ‘add-ons’

    2.9 million households
    These emerging propositions enable customers to participate in grid flexibility without needing to own low carbon technologies, often rewarding them with incentives like free electricity (attracting 1.7 million households) or reward points.
  • Highest export tariff value

    40 p/kWh
    This demonstrates that the highest financial rewards are unlocked through automation, where the supplier can manage the battery for optimised import and export to maximise revenue and support the grid.
  • EV proposition growth rate

    500k households
    This rapid growth highlights the consumer appeal of specialised EV tariffs and ‘add-ons’ that typically offer significantly cheaper overnight rates for both vehicle charging and general household consumption.

Crucially, this report shines a light on parts of the market that traditional regulatory reporting misses. Suppliers are innovating at speed, creating bundled solar, storage, and heating offers that unlock significant value for the grid and the consumer. It is vital that policy allows innovation to flourish to ensure these benefits become accessible to all.

Jon Ferris Head of Flexibilty, LCP Delta

Your questions answered

A tariff that has different rates for electricity based on the time of day, reflecting peak and off-peak periods, and is typically fixed for months or years.

These are advanced tariffs where rates reflect the half-hourly wholesale price of energy, changing daily. Examples include Agile Octopus, and they allow customers to benefit from negative prices and shift consumption for greater savings.

A mandatory scheme where all large energy suppliers must pay households for the electricity they export back to the grid. While basic SEG rates are low (3-4 p/kWh), higher rates are offered when bundled with import tariffs or supplier management.

These are propositions or ‘campaigns’ that reward customers for participating in flexibility, such as shifting consumption or responding to grid signals. Incentives include bill credits, free electricity, or reward points.