Octopus Tracker Tariff Prices.
A complete guide to the Octopus Tracker tariff.
The Octopus Tracker Tariff follows wholesale energy prices. It is unlike any other domestic energy tariff on the market. Every day at midnight Octopus Energy updates the price you pay per kWh. Unlike other Octopus smart tariffs, the Octopus Tracker tariff can cover your gas and electricty but you don’t need to be on it for both.
Let’s just cut to the chase and say this isn’t a tariff for you if you are not a savvy shopper. If you usually prefer convenience over spending less and don’t have time to keep one eye on the price you pay for energy then walk away.
Octopus Energy changed the formula it uses to calculate the daily rates of the Octopus Tracker tariff on 31st of December, 2024. There are not a vast amount of savings to be made on this tariff right now if you have gas, but things could change and the electricty unit rate is pretty good. In this quick review, I will explain the strengths and shortcomings of the Octopus Tracker tariff.
Octopus is still the only company to offer this tariff or anything like it.
Review written by Sarah Chambers
How does the Octopus Tracker tariff work?
Octopus Energy updates the price you pay per kWh for energy every day. The price is based on an independently published wholesale market price.
Octopus uses a formula to calculate how much the daily rate will be. This formula is fixed for 12 months when you sign up for the Octopus tracker tariff.
Your Octopus dashboard will be updated each day to show the price you will pay per kWh.
The Octopus Tracker tariff formula changed on 31st December 2024. So, if you sign up after this date, be aware that any other reviews you have read will use a formula lower than the current offering.
Is the Octopus Tracker Tariff still a good deal?
Deciding if the Octopus Tracker tariff is worth switching to isn’t as clear-cut as it was a few months ago.
The Energy Price Cap rose by 1.2% on 1st January 2025 and is predicted to rise by at least a further 2% on 1st April 2025. This October Energy Price Cap will be based on past wholesale energy rates. On the Octopus Tracker tariff, you’ll have already paid these higher prices as the Octopus Tracker tariff follows current and not past wholesale energy prices. However, so far the monthly average unit price hasn’t exceeded the Octopus flexible rate.
With the April 2025 Energy Price Cap predicted to rise by at least a further 1% Octopus Tracker tariff customers will experience these prices now if predictions are correct.
@sarah_go_green Replying to @Ali Hussain @Octopus Energy ♬ original sound – sarah_go_green
Since making this TikTok on the 2nd January the Octopus 12 months fixed has changed and has gone up. It is now the January v1 fixed tariff and the gas rate has had a slight increase.
Pricing predictions.
The most recent analysts’ predictions (the ones used by Martin Lewis) predict that the Energy Price Cap will increase by between 3 and 5% on 1 April 2025. The announcement will be made towards the end of February 2025.
The April 2025 Energy Price Cap is based on wholesale prices from 19th November to the 17th February 2025 . If you are on the Octopus Tracker tariff these are the prices you will pay now, so if prices rise further you will see them first.
The amendment to the Octopus December 2024 v1 tracker tariff formula has seen the rates go down slightly, but the increase in wholesale energy prices makes any decision slightly more tricky. It is good news that the Octopus tracker tariff formula has gone down, but the fact that you can’t hop on and off this tariff also adds some complexity.
If you switch to the Octopus Tracker tariff and then decide to switch away you can’t move back to the tracker tariff for 9 months.
You can read more on the Octopus Tracker Tariff FAQ page.
Octopus Tracker Tariff as of the 19th January 2025 – December 2024 v1.
- The Octopus Tracker Tariff is 6.72p per kWh for gas and 27.13p per kWh for electricty.
- The Octopus January 2025 Flexible tariff is 6.54p per kWh for gas and 24.85p per kWh for electricity.
- The Octopus 14-month fixed tariff is 6.38p per kWh for gas and 23.95p per kWh for electricty.
These are the prices for South Wales on 19th January 2025. As you can see there isn’t a vast difference between the fixed and the Octopus tracker tariff. However, prices on Octopus Tracker change daily and at the moment we are seeing the rates fluctuate on some days you will pay more on the Octopus Tracker tariff
The Energy Price Cap is predicted to rise by at least 3% from the 1st April 2025 but the daily standing charges are up in the air. Ofgem has suggested having two standing charges so that lower users don’t get clobbered with such high daily charges, but nothing has yet filtered down to the customers.
Itemised billing on the Octopus Tracker tariff.
When you are on the Octopus Tracker tariff, your Octopus bill will be itemised if you have a smart meter. There will be a row for each day this will include;
- The date
- Wholesale price
- Day’s unit price per kWh
- Energy used.
You must have a smart meter for the Octopus Tracker tariff. Previously you could sign up without one.
It is important to note that your In Home Display will not display your Octopus tracker rates. The display becomes fairly pointless when you are not on a standard tariff. I would suggest using the Octopus app, Octo Aid, or Loop.
I would also sign up for the new Octopus home mini, it’s free. The little pink tile is a brand-new device. It sends your smart meter’s data straight to your Octopus Energy app, so you can see your electricity use in near real-time.
It is important to glance at your rates each day.
Octopus suggests you check the price you pay per kWh frequently while on the tracker tariff. You can check the day rate by looking at your Octopus dashboard. By doing this, you will get a feel for how much you are paying for your energy. They compare it to checking petrol prices at a garage forecourt. If you check often enough, you will know if prices are going up or down. Remember that the average price you pay per kWh over the month is most important.
Key facts – Octopus Tracker Tariff.
Is the Octopus Tracker tariff Britain’s fairest tariff?
The Octopus Trackers tariff was launched on 8th May 2017. Greg Jackson, CEO of Octopus Energy said, “This tariff is the first guarantee that you won’t get ripped off.” At this time Octopus Energy had just 90,000 customers and was challenging the Big 6 energy suppliers. Now Octopus has over 5 million customers and is the largest electricty supplier in the UK. Octopus has always stood out doing the right thing even when they were considered of little threat to the Big 6.
With the Octopus tracker tariff, you know exactly what you are paying for each day. There’s a breakdown of the unit price and you know it reflects the current wholesale price in the UK.
Octopus Tracker Tariff and the January 2025 Energy Price Cap.
On average, if you were on the Octopus Tracker tariff for gas and electricity, you would be paying less than the January 2025 Energy Price Cap. However, the Energy Price Cap will probably increase in price by a further 3 – 5% on 1 April 2025.
The January Price Cap will remain at a fixed price until it is reviewed by Ofgem towards the end of February 2025 and prices change again on the 1st of April 2025. (The Energy Price Cap changes 4 times a year.)
The January 2025 Energy Price Cap is based on the past 3 months’ pricing of wholesale energy. Prices have increased slightly over the month and there is still conflict in the Middle East. This is why the Energy Price Cap is predicted to rise again by at least 3% on the 1st of April 2025.
If you decide to switch to the Octopus tariff, I strongly suggest you keep an eye on the price you pay each day. It is more of a gamble than it was a year ago. However, the lower Octopus Tracker tariff is helpful.
The Flexible tariff isn’t as responsive to wholesale energy prices as the Octopus Tracker tariff.
If you are on a standard tariff, such as the Octopus Flexible tariff, the amount you pay will most likely go up on the 1st of April, 2025. The price of your energy will then remain the same until the new Energy Price Cap in July 2025.
You can monitor both gas and electricity wholesale prices on this website. You can also take it a step further and see how wholesale prices change by the hour on this site BUT there’s no need unless you are interested in the wholesale energy market. I will explain more below.
If you are interested in energy prices and what the future holds this is a very informative document from the House of Commons Library. It is a research document (that isn’t too heavy) written in February 2023.
You will need to keep a close eye on your daily rate on the Octopus Tracker tariff but at the moment it is slightly cheaper than the Octopus Flexible tariff.
Energy prices can change at a moment’s notice, so be sure to do some math based on your circumstances to determine whether the tracker tariff is right for you.
Do you need a smart meter to switch to the Octopus tracker tariff?
Yes, you now need a smart meter to be on the Octopus Tracker tariff. I have an older neighbour who switched to the Octopus Tracker tariff last August. He takes a monthly meter reading, and Octopus calculates the average price per kWh for both his gas and electricity. However, this recently changed, and you now need a smart meter. He has been lucky and has managed to get one fitted.
How do I check if my meter is a smart meter?
You can check if your meter is working in smart mode on the Citizens Advice website. This online checker tool can tell you what type of smart meter you have in your home and if it’s working in smart mode.
Is the Octopus Tracker tariff the cheapest tariff available for Octopus customers?
The Octopus Tracker tariff is currently, on average, cheaper than any other traditional tariff they have for electricity, but for gas, there is not much in it, and unlike, for example, the Octopus 12-month fixed, it doesn’t offer any protection for price increases.
If you wanted to move away from the Octopus tracker tariff you could also look at the Octopus Agile tariff for your electricty but it takes more thought and planning as the price changes every 30 minutes. Octopus Agile does, however, allow you to grab cheap energy or even get paid to use it when there’s an excess on the grid.
| Octopus Flexible Tariff (January 2025 Price Cap) | Octopus 14 months Fixed Tariff 2025 - January v1 | Tracker Tariff December v 1 |
|
|---|---|---|---|
| Gas | 6.54p | 6.38p | 6.72p |
| Electricity | 24.85p | 23.95p | 26.18p |
| Rates per kWh | 1st January to 31st March 2025 | Fixed for 14 months. No exit fee. | Rate change daily - 18th January 2025 |
If you are considering switching to the Octopus Tracker for electricity I would first review all the other Octopus smart tariffs available. Depending on your usage and personal circumstance you may find another smart tariff that reduces the price you pay per kWh for electricity so that it is cheaper for you. There are so many variables you need to review all the Octopus smart tariffs. You will, however, need a smart meter for all the Octopus smart tariffs. You need a smart meter for the Octopus tracker tariff.
One size doesn’t fit all when considering an electricity tariff.
Just for those who are new to smart tariffs and are unsure if the Octopus tracker tariff would work out cheaper NOW for electricity, you can consider the following.
The Octopus tracker tariff over the last month has been cheaper than the standard variable tariff, ie Octopus Flexible tariff for electricty even though wholesale energy prices have increased. Just be mindful that wholesale prices could go up further and gas is a different story altogether.
You can decide to be on the Octopus Tracker tariff for your electricty but fix your gas tariff. To do this you will need to contact Octopus and explain you want to split your energy supply between two different tariffs.
If you own any of the following and have a smart meter I would consider another Octopus smart tariff first.
- Electric vehicle. – Intelligent Octopus Go tariff / Octopus Go tariff
- Heat pump. – Cosy Tariff
- Solar panels at home. – Agile tariff – Octopus Flux, Octopus Intelligent Flux
- Just battery storage – Economy 7 / Agile tariff or an electric vehicle tariff if you own one.
There may be other factors that change this but this is a generalisation based on current wholesale electricity prices.
There are so many variables trying to work out which electricity tariff is the cheapest you can’t give a blanket answer for everyone as everyone’s home setup and needs will be different.
What does Martin Lewis say about the Octopus Tracker tariff?
In 2023, Martin Lewis posted a review on the Octopus Tracker tariff. This is the first time it has been featured on his Money Saving Expert website. He has since mentioned it several times online and on his TV show. I think he has previously steered away from it as customers have to be on the ball with this tariff as prices change daily but it is just a good deal I am glad he has now done a review. This won’t be for everyone and now might not be the right time to switch to the tracker tariff but you should keep it on your radar.
Is the Octopus Tracker Tariff a safe bet?
The Octopus tracker tariff is a safe tariff to be on IF you know you will keep an eye on your daily rates. You just need to be ready to jump ship if prices rise dramatically. The only issue is you can’t go back to the tracker tariff for 9 months.
The Octopus Agile offers a good alternative and significant cost savings for households who are prepared to keep a close eye on the price they pay for their energy. You could start on this tariff and then decide if to move to the Octopus tracker tariff. The 9-month waiting time after switching tariffs doesn’t apply to Octopus Agile.
At one stage Octopus smart tariff was almost exclusively taken up by customers who love spreadsheets but now everyone is monitoring their energy costs so it’s these unique tariffs have become quite popular over the last year or so.
Can I switch to Octopus Energy as a new customer?
All traditional and smart tariffs are available to new customers. Yes, you can switch to Octopus Energy using the link below. For any smart / tracker tariffs, you will have to sign up for the Octopus Flexible tariff first and then when the switch is complete add yourself to the waiting list.
For the Octopus tracker tariff, you’ll need a smart meter. You’ll also need to be an Octopus customer. Once you have completed your switch to Octopus you can ask to move to the Octopus tracked tariff.
If you use my referral link to switch we will both receive £50 credit on our energy bill. So a big thank you if you use mine!
How easy is it to switch to Octopus Energy?
After answering a few short questions, you will be given a quote for the Octopus Flexible tariff and Octopus Fixed tariff. You can choose either tariff, as there are no exit fees, or switch to the Octopus tracker tariff from both.
You’ll be an Octopus Energy customer in no time. Switch and claim your £50 new customer credit by using my referral link. There’s no exit fee or long-term lock with Octopus Energy. The switch is usually completed within 5 days. It’s a great way to get cashback when you join Octopus Energy as a new customer. (No code is required; just use the linked pages.)
Switching to Octopus and changing tariffs as soon as your switch is complete does not affect your £50 credit.
You’ll be given £50 credit after your first direct debit is taken and you’ll get your personal referral code to share with friends and family as soon as you have signed up.
Tip: The £50 credit is added to your balance after your first payment is made. If you opt to make a one-off payment eg £5 (the link is on your Octopus dashboard) this should trigger the £50 credit being added a day or two later. So you should get it earlier.
How can I check the standing charge price for my area?
If you go to the Octopus website you can check the current daily rate and standing charge for the Octopus tracker tariff.
- First head to the Octopus tariffs page.
- Input your postcode BUT do not click “Get a quote”.
- Scroll down and click on “filters.”
- From the drop-down menu select “domestic.”
- The tracker tariff is listed about the 3rd tariff down – Octopus Tracker October 2024 v1.
The standing charge on the Octopus tracker in South Wales is 62.06p per day for electricity and 29.77p per day for gas.
What’s the latest version of the Octopus Tracker tariff called?
The latest version is December 2024 v 1. The formula for working out the daily rates has changed. (If you switched to this tariff before 31 December 2024, you will be on the older formula.)
The tariff will appear on your dashboard and show an end date. This just means that you will stay on this version of the Octopus Tracker tariff for 12 months. The rate will change every day.
There have been several versions of the tracker tariff, but if you switch to the Octopus Tracker tariff today, you will be on December 2024 version 1.
Once you have switched to the Octopus Tracker tariff, the formula and cap used will remain the same on your account for 12 months unless, of course, you switch tariffs, which you are free to do at any time.
If you decide to switch to another tariff after being on the Octopus tracker tariff, you cannot switch back to the Tracker tariff for nine months.
Should I switch to the Octopus Tracker Tariff?
The Octopus Tracker tariff is now more of a gamble but I think it is still worth a punt. You can currently beat the gas unit price by fixing your gas tariff on an Octopus 12 months fixed but there isn’t a vast amount in it. Remember you can split your gas and electric tariff and have your gas rate fixed whilst opting for the tracker tariff for your electricty.
If Ofgem changes the way the standing charge is calculated and you are a higher user locking in the December formula for 12 months may be a better bet too. It is quite a difficult decision at the moment but I think it’s still worth doing if you are prepared to actively monitor your tariff.
What’s the difference between Octopus Agile and the Octopus Tracker tariff?
The Octopus tracker tariff was launched 9 months before the Agile tariff in May 2017. The tracker tariff has a different price for gas and electricity every day based on wholesale energy prices. Here is a quick summary of the differences between the two tariffs.
1. The Octopus tracker tariff offers customers electricity and gas prices that change every day, based on the wholesale price of energy.
1 . Octopus Agile offers customers electricity prices that change every half an hour, based on the wholesale price of energy.
2. You don’t need to shift your energy use throughout the day as it does not fluctuate.
2. You need to be able to shift your energy use to use energy when there’s less demand or excess electricity on the grid. During these 30-minute periods, prices drop.
Octopus Agile v Octopus Tracker Tariff.
The Octopus Agile tariff follows current wholesale electricity prices and incentivises customers to use energy when there is spare capacity on the grid to help the planet. You change how and when you use energy throughout the day depending on prices which change every 30 minutes. Similarly, the Octopus Tracker tariff follows current wholesale electricity and gas prices but only changes once a day at midnight. Customers do not benefit from using energy off-peak.
This is an Offical Octopus website which isn’t widely known about. It allows you to look at historical Octopus Agile prices for your area and if you are already an Octopus customer you can compare them to your current tariff.
If you switch away from either of the Tracker tariff you cannot return to it for 9 months, for the Agile tariff it’s currently 30 days. This stops customers from trying to game the system.
Octopus Agile Tariff – The price per kWh changes every 30 minutes.
So far Octopus hasn’t changed the Octopus Agile formula. It is still using the formula from 1st April 2024.
Octopus Agile October v 1
Rates change every 30 minutes.
Average rates over the day.Cheapest rate each day
Sunday 19/01/25 27.5p per kWh. 20.6p per kWh (08.00)
Saturday 18/01/25 26.1p per kWh 21.3p per kWh (04.30)
Friday 17/01/25 25.5p per kWh 19.1p per kWh (02.30)
Thursday 16/01/25 25.3p per kWh 19.5p per kWh (22.30)
Wednesday 15/01/25 28.6p per kWh 20.5p per kWh (22.30)
Tuesday 14/01/25 25.9p per kWh 19.9p per kWh (00.00)
Monday 13/01/25 24.1p per kWh 17.9p per kWh (00.00)
About the author: I’ve Been a Happy Octopus Energy Customer for 6 Years.
My name is Sarah, and as a mother of three daughters, I want to save money and do right by the planet. This led me down a rabbit hole of researching tariffs, smart meters, and renewable options.
You can find me on X and TikTok, where I connect with around 10,000 followers who are looking for practical ways to electrify their homes and reduce energy bills.
Feel free to follow me Sarah_Go_Green and join the conversation – I’d love to hear from you!
I’m also featured on the Octopus website and their YouTube channel as a solar customer. I’ve been on BBC News, and Radio Wales, published in the Telegraph for owning part of a wind turbine and had a feature in Bloomberg.
I genuinely want to help you understand your options and make smarter energy choices. It’s that simple, I have become very geeky about my home energy and I can help you too.
Another post by Sarah you may find of interest;
- Intelligent Octopus Go – The most popular EV tariff in the UK.
- Are Octopus energy prices going down?
- To fix or not to fix your energy tariff with Octopus Energy.
