UK families could be ‘paid’ to use more electricity in ‘big change’ | Personal Finance | Finance

Households will be encouraged to put the washing on, charge electric cars and even crank up appliances at weekends under a major shake-up of Britain’s energy system.

In a move that underlines the growing influence of wind and solar power, families could increasingly be offered cheap – or even free – electricity at times when the grid has a surplus. Separately, there will also be incentives to cut usage at peak periods in order to spread out the power demand.

The proposals were released amid growing anxiety about increases in energy bills that are expected to hit this winter amid the fall-out of the Middle East crisis.

The change has been confirmed by the National Energy System Operator (NESO), which says consumers will now be rewarded not just for cutting usage, but also for using more power at the right moments.

It marks a significant expansion of the Demand Flexibility Service (DFS), a scheme already used by millions to earn cash by reducing consumption during peak hours.

In a post, NESO said: “Big changes are coming to our Demand Flexibility Service. For the first time users can take part by increasing or reducing their electricity usage at certain times. That means more opportunities to be rewarded for strategic electricity use!”

How the scheme works

The DFS was originally introduced to ease pressure on the grid during periods of high demand – typically weekday evenings when households are cooking, heating homes and using appliances.

Under the scheme, energy suppliers have invited customers to take part in events where they are paid or rewarded for cutting back usage at peak times.

In practice, this has meant:

• Turning off tumble dryers or delaying washing cycles
• Avoiding oven use during peak hours
• Shifting electricity use to later in the evening

Customers who take part have been offered bill credits, cash payments or reward points – sometimes saving several pounds per event.

More than 2.46 million households and businesses have signed up since launch, according to NESO.

What is changing now

For the first time, the scheme will also reward people for increasing electricity use when there is excess supply – particularly from renewable sources.

This typically happens:

• On windy days when turbines generate large volumes of power
• During sunny periods with high solar output
• Often at weekends, when overall demand is lower
• Instead of switching off, households may now be encouraged to:
• Run washing machines or dishwashers
• Charge electric vehicles
• Use energy-intensive appliances

The aim is to soak up surplus electricity that would otherwise go to waste.

Rebecca Beresford, Director of Markets at NESO, said: “There are certain times when the GB system is fortunate to have plentiful supplies of low carbon electricity.

“Enabling consumers to benefit by increasing their electricity use at those times is a critical step to making demand side flexibility work for consumers and the system.”

Why it matters

The move reflects a fundamental shift in how Britain’s power system operates.

Historically, electricity supply was adjusted to meet demand. Now, with renewables playing a bigger role, demand is increasingly being shaped to match supply.

That means:

• Less strain on the grid at peak times
• Better use of renewable energy
• Potentially lower bills for households willing to be flexible

The updated scheme will also be opened up further, with the participation threshold cut from 1MW to 0.1MW, allowing smaller firms and providers to take part more easily.

What it means for your bills

For consumers, the biggest change is the prospect of more frequent cheap or free electricity periods.

Energy firms are expected to roll out:

• Time-limited offers of free power
• Heavily discounted rates during surplus periods
• Continued cash rewards for cutting usage at peak times

In effect, households could be paid both to use less and use more electricity – depending on what the grid needs. The expansion comes as part of a wider push to build a more flexible, low-carbon energy system, where consumers play a direct role in balancing supply and demand. For bill-payers, it opens the door to a simple trade-off: shift when you use energy – and get rewarded for it.