What is arbitrage and how does it save me money?
Let’s be honest, “arbitrage” sounds like something you’d hear in the City, not down the pub. But in the world of home energy, it’s actually a simple, clever trick for keeping more money in your pocket.
So, what is arbitrage?
In plain English, arbitrage is just buying something when it’s cheap and using it (or selling it) when it’s expensive. Traders do it with stocks and currencies, with Vimma you do it with electricity. No pinstripe suit required.
How does energy arbitrage work at home?
- Step 1: We install your Vimma battery.
Step 2: Sign up for a time-of-use tariff (like E.ON Next Drive or Octopus Go) that offers cheap overnight electricity. - Step 3: Vimma configure your battery charge during those off-peak hours (think 7-9.5p per kWh).
- Step 3: Use that stored energy during the day, when prices jump to 25p per kWh.
- Step 4: Smile smugly as you avoid peak prices and keep your bills low.
It’s a bit like filling your petrol tank when prices are at their lowest and running on that for the rest of the week, only you don’t have to queue at the forecourt.
How much can I actually save?
If you’re shifting 10kWh a day from peak to off-peak, there's savings of around £650 a year to be had, compared to the standard price cap. Over time, those savings add up – all without changing your routine or waiting for the sun.
Why is this a “no brainer”?
- No sunshine needed: Works even if you haven’t got solar panels.
- No lifestyle changes: The battery does the hard work in the background.
- Can move with you: You don't need to be in your forever home.
- Cheaper and hassle free: With the right tariff and usage, you'll see a better payback than solar without the hassle.
The bottom line
Arbitrage might sound fancy, but it’s really just smart shopping for your electricity. Less spent on bills, more left for the fun stuff, and not a pinstripe in sight.