The Octopus Zero Bills Tariff
What Is the Octopus Zero Bills Tariff?
Octopus Energy, the UK's largest energy supplier, offers a tariff with a straightforward promise. Qualify with the right home tech package, and they guarantee your monthly energy bill is zero. Not lower. Not cheaper. Zero.
The idea is simple. A combination of solar panels, a battery storage system, and an energy-efficient heat pump means a modern home can generate and store enough energy to cover all its own needs. Octopus backs this up with a formal tariff guarantee. If your monthly bill is not zero, they make up the difference.
This is not a small pilot. Octopus have committed to rolling this out widely across the UK as the cost of solar and heat pump technology continues to fall. Thousands of homes are already on the tariff, and the number is growing rapidly.
Cucumber Eco works with homeowners to help them access the right technology, secure the available grants, and get onto the Octopus Zero Bills tariff as quickly as possible.
Talk to Our TeamWhat you need to qualify
The Octopus Cosy 6
Meet the Heat Pump at the Heart of Zero Bills
Octopus Energy's own heat pump range, the Cosy Series, is designed specifically for the UK market and the UK climate. Available in 6kW, 9kW, and 12kW outputs, the Cosy uses R290 natural refrigerant, which is cleaner and more efficient than older refrigerant types, and operates effectively even when temperatures drop well below zero.
The Cosy achieves a Seasonal Coefficient of Performance (SCOP) of 4.31 to 4.60 depending on model , meaning it delivers over four units of heat for every unit of electricity it consumes. When that electricity comes from your own solar panels, your heating costs fall to near zero. An independent AES comparison of 10 leading heat pump manufacturers rated the Cosy as one of the top performers across all property sizes.
The Cosy is designed as a plug-and-play gas boiler replacement with a high-temperature output up to 65°C, so in most cases there is no need to change your radiators. It installs 30% faster than comparable heat pumps, operates quietly at 58 to 61 dB, and comes with an 8-year warranty backed by over 1,000 UK-based engineers. Each unit includes a Cosy Hub for remote monitoring and Cosy Pods as room sensors that detect temperature and humidity, helping prevent damp and mould.
Installing a qualifying heat pump such as the Cosy also unlocks the Boiler Upgrade Scheme grant of £7,500, which covers a significant portion of the installation cost. For eligible households, the full package can be funded at zero upfront cost.
How It Works Together
The Three Technologies That Eradicate Your Bills
No single technology achieves zero bills on its own. But when all three work together, the maths become very compelling.
Solar PV Panels
Saves up to £600 per yearSolar panels generate free electricity from daylight, not just direct sunshine. A standard 4kW system generates between 3,500 and 4,000 kWh per year, enough to cover the full electricity needs of a typical UK home. Panels carry 25-year performance warranties and require virtually no maintenance.
Any surplus electricity that your home does not use can be exported to the grid via the Smart Export Guarantee, earning you income on top of your savings. With the right tariff from Octopus, that SEG income can be very attractive.
Battery Storage
Pushes self-consumption to 80 to 90 percentWithout a battery, solar panels generate surplus electricity during the day that gets exported at a low rate, then you buy expensive grid electricity in the evening. A battery eliminates this inefficiency entirely. It stores what you generate and releases it when you need it.
Octopus Energy's smart tariffs work hand-in-hand with battery storage. During periods of very cheap overnight electricity (such as on the Octopus Flux tariff), a battery can also charge from the grid at low cost and discharge during expensive peak periods. The combination is powerful.
Air Source Heat Pump
£7,500 BUS grant availableA gas boiler burns fuel to create heat. A heat pump moves heat from outside air into your home using electricity. For every unit of electricity consumed, a modern heat pump delivers three or more units of heat. This is the fundamental efficiency advantage that makes zero bills possible.
The Octopus Cosy 6 heat pump is designed and sized for UK homes. It uses R290 refrigerant, works reliably in cold weather, and integrates directly with the Octopus app and the Zero Bills tariff monitoring system. The Boiler Upgrade Scheme provides a £7,500 government grant toward the installation cost.
Insulation. The Essential Foundation.
Cuts heating demand by 30 to 50 percentA heat pump in a poorly insulated home will work harder and cost more to run. Good insulation reduces how much heat your home needs in the first place, meaning your heat pump, solar, and battery work far less to keep you comfortable.
Loft, cavity wall, and floor insulation are often fully funded for eligible households through the Warm Homes Plan and ECO4. Cucumber Eco assesses your insulation needs as part of every free consultation, and coordinates all measures together to maximise the impact.
The Technology Behind the Guarantee
How Octopus Kraken Makes Zero Bills a Reality
Zero Bills is not just about hardware. Octopus Energy's proprietary Kraken platform continuously manages your home energy system to keep your bill at zero every single month.
Most energy suppliers simply sell you electricity. Octopus do something fundamentally different. Their Kraken software actively manages your heat pump, solar panels, and battery in real time, making thousands of small decisions each day to ensure your home generates and stores enough energy to cover its own needs.
The system takes live weather forecasts to pre-heat your home or charge your battery when generation will be high. It accounts for grid conditions, selling surplus electricity back at the best price via the Smart Export Guarantee. It also provides flexibility services to the National Grid, turning your home into a tiny power station that earns income while you sleep.
The Zero Bills tariff comes with a Fair Use Allowance set at double the average UK household consumption. So even high-usage homes are covered. Note that EV charging is not included in the Zero Bills guarantee.
The guarantee is backed by Octopus directly. If in any month your home does not generate enough to cover your usage, Octopus makes up the difference. You pay nothing.
Guarantee Duration
Zero Bills guaranteed for at least 5 years
For retrofit properties (existing homes), the Zero Bills tariff guarantee runs for a minimum of 5 years, with no energy bills for the life of the qualifying equipment beyond that. New-build properties receive a 10-year guarantee from day one.
Fair Use Allowance
Set at double the average UK consumption
The Zero Bills tariff includes a Fair Use Allowance set at double the average UK household energy consumption, meaning even large families and high-usage homes are fully covered. EV charging is not included within the guarantee.
Funding Your Zero Bills Package
Available Grants and Schemes
The government has committed billions of pounds to help UK households make the switch. The right combination of grants can cover the entire upfront cost for eligible homes.
Boiler Upgrade Scheme
The BUS provides a £7,500 government grant toward the cost of an air source heat pump. No income test applies. Available in England and Wales until 2030. The installer claims the grant directly and discounts it from your bill.
More about heat pumpsWarm Homes Local Grant
The government's Warm Homes Plan provides up to £30,000 per property for income-eligible households on EPC D to G. Covers insulation, heat pumps, solar PV, storage heaters, and smart controls. Available via local authorities. Cucumber Eco manages the application for you.
More about the Warm Homes PlanECO4 Scheme
The ECO4 scheme funds insulation and heating upgrades for households receiving qualifying benefits. The full package of measures can be installed at no cost. ECO4 runs until the end of 2026 and complements the Warm Homes Plan funding routes.
View all available grantsFor Landlords and Housing Providers
Octopus Tenant Power: Bills Down. Revenue Up.
If you own a rental property, the Octopus Tenant Power tariff lets you reduce your tenants' energy bills by 30% while generating a monthly income stream from the solar and battery system you install. It is a first-of-its-kind model with no comparable product elsewhere in the market.
How Tenant Power Works
Landlord installs an approved solar and battery system on the property (minimum 6 panels). GivEnergy battery and inverter required.
Tenant switches to the Octopus Tenant Power tariff and receives a fixed 30% discount on the unit rate of their electricity bill from day one.
Landlord earns a monthly return on the electricity generated by the solar panels and the use of the battery for grid flexibility. Octopus pays this automatically.
Monthly revenue reports shared with the landlord. Payments spread evenly over 8 months (March to October). Rates fixed for a 12-month period.
Add a heat pump for even greater impact
Adding a heat pump to a Tenant Power property extends the 30% bill reduction to cover heating as well as electricity, giving tenants a whole-home bill reduction of around 30% including heating costs. The Octopus Cosy heat pump is specifically designed for Tenant Power homes.
Landlord Annual Returns (Example)
A standard 12-panel system with a 9.5kWh battery earns the landlord £716 per year , paid monthly as £89.50 over 8 months.
Simple ROI of 12.7 years on £9k solar and storage installation cost. Rates based on current electricity market and fixed annually by Octopus.
Tenant Savings
30% discount on unit rate. Based on Jan 2026 SVT Yorkshire rates.
Property requirements
- Houses only (not flats)
- Minimum 6 solar panels
- GivEnergy battery and inverter
- Broadband or 4G connection (Octopus supplies 4G dongle)
- Any heat pump model (Cosy designed specifically for this)
Eligibility
Who Qualifies for the Zero Bills Package?
Eligibility depends on a combination of household income, benefits received, property type, and current EPC rating. Many more households qualify than you might expect.
Benefits Recipients
Households receiving qualifying benefits are typically eligible for fully funded measures, including:
- Universal Credit
- Pension Credit (Guarantee Credit)
- Child Tax Credit or Working Tax Credit
- Income Support
- Income-related ESA or JSA
- Housing Benefit
Low Income Households
Even without qualifying benefits, households with an income below £36,000 may be eligible under the Warm Homes Local Grant. There is also an area-based route where homes in deprived areas can qualify without an individual income check.
Our team checks eligibility under every available route, not just the obvious one.
Homeowners with Poor EPC Rating
Properties currently rated EPC D, E, F or G are the primary targets for improvement under the current schemes. If you own your home and it has a poor energy rating, you are very likely to qualify for significant funded support.
Not sure of your EPC rating? We check it free of charge as part of our initial assessment.
Your Journey
From Enquiry to Zero Bills. Step by Step.
Here is exactly how Cucumber Eco takes you from your first question to your first month with no energy bill.
Common Questions
Frequently Asked Questions
Everything you need to know about the Octopus Zero Bills tariff and how to qualify.
How does Octopus Energy guarantee zero bills? +
Octopus Energy uses its Kraken platform to actively manage your heat pump, solar panels, and battery in real time. If in any month your home does not generate enough and you incur a grid electricity cost, Octopus cover the difference under the tariff guarantee. For retrofit properties the guarantee runs for a minimum of 5 years, with zero bills for the life of the equipment beyond that. New-build properties receive a 10-year guarantee. The tariff includes a Fair Use Allowance set at double the average UK household energy consumption. EV charging is not included within the guarantee.
Do I have to use an Octopus Energy heat pump? +
To access the Octopus Zero Bills tariff, you need to meet Octopus's qualifying criteria, which typically includes a qualifying heat pump, solar panels, and battery storage. The Octopus Cosy 6 is their own heat pump product and is designed to integrate directly with the tariff system. Our team will confirm exactly which equipment qualifies during your assessment.
What grants are available toward the upfront cost? +
The Boiler Upgrade Scheme provides £7,500 toward a qualifying heat pump. The Warm Homes Local Grant provides up to £30,000 for the full package for income-eligible households. ECO4 covers insulation and heating for households on qualifying benefits. In many cases, the combination of grants covers the complete upfront cost with nothing to pay.
Is my property suitable for solar panels and a heat pump? +
Most UK houses with a roof facing south, east, or west are suitable for solar panels. Heat pumps can be installed on virtually any property with outdoor space for the unit. Our technical survey confirms suitability before any commitment is made. We would never proceed with a package that would not deliver the promised results for your home.
How long does the installation take? +
A typical full package takes two to four days on site spread across separate visits. Solar panel installation is usually completed in a single day. Heat pump installation takes one to two days. Insulation measures are typically done in one day each. We coordinate all the trades and manage the schedule so the disruption to your household is minimal.
What happens if I do not qualify for grants? +
Even without full grant funding, the Boiler Upgrade Scheme £7,500 grant is available to all homeowners without an income test. For the remaining cost, 0% finance options are available through approved third-party providers, subject to status. Many households find the monthly saving on bills covers the finance repayment, meaning the package is effectively self-funding from day one. Cucumber Eco acts as an introducer only for finance products.
Ready to Get Started?
Your First Bill-Free Month Is Closer Than You Think
Talk to our team today. We will check your eligibility, explain every available grant, and give you a clear plan to reach zero bills. No obligation. No pressure. Completely free.