Energy supplier Octopus Energy is urging its customers to make a simple adjustment to their home heating systems that could slash bills by around £65 in the run-up to Christmas. The advice centres on optimising a boiler's flow temperature, a setting that is often left at an inefficiently high default.
The Simple Switch for Significant Savings
According to guidance from the company, households with a modern combi boiler should set the flow temperature for heating to 50°C and the temperature for hot water to 55°C. This is typically lower than the factory preset and can lead to substantial savings without compromising comfort.
The logic behind the saving is straightforward. The flow temperature controls how hot the water is when it leaves the boiler to heat your radiators or provide tap water. A lower setting means the boiler uses less gas to heat the water, operating more efficiently. Energy charity Nesta supports this, estimating that a correctly adjusted flow temperature can reduce a household's gas use by up to 12%.
Advice for Homes with a Hot Water Cylinder
For properties using a boiler alongside a separate hot water cylinder, Octopus provides slightly different instructions. In these systems, the recommendation is to set the boiler's flow temperature to just above 60°C, while ensuring the hot water cylinder's thermostat is set at 60°C. This balance ensures safety from bacteria like legionella while maintaining efficiency.
Kraken Technologies Spins Off in Major Business Move
In separate company news, Octopus Energy has announced a significant internal restructuring. Its proprietary software platform, Kraken Technologies, is being spun off into a standalone entity through a demerger. This strategic move is designed to accelerate the global growth of the AI-driven platform.
Kraken's reach is already extensive, managing more than 70 million household and business accounts worldwide through licensing agreements with other utility companies. Industry reports suggest the newly independent software firm could be heading for a stock market listing, a move that may value the business in the billions of dollars.
This dual focus from Octopus—helping customers save money immediately while positioning its technology arm for international expansion—highlights its evolving role in the energy sector. For consumers, the immediate takeaway is a practical, cost-free action that can soften the financial pressure of the winter heating season.
