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As April’s Energy Price Cap Looms, Smart Thermostat Users Protect Themselves From Rising Costs by £231.12 annually

London, 17.03.2022 - When the energy price cap rises on 1st April 2022, millions of homes across the UK will be plunged into higher-priced energy bills. At the same time, Smart Thermostats will reach a watershed moment in the UK, with owners now saving an average of £231.12 annually on their energy bills.

March Energy Pricing

Energy Price Cap Rise

With the energy price cap rising 64% from April 1st, the average UK home’s spending on gas heating will increase from £638.90 to a staggering £1,050.55 annually. This is according to the average annual consumption of gas provided by BEIS Energy Prices Statistics Team (1), and the April price cap’s cost of gas per kWh and daily standing charge. (2)

However many homes across the UK will be protecting themselves from these rising costs thanks to smart thermostats, where the average household enjoys a 22% reduction on their heating bills through a variety of measures provided (3). Smart thermostats save on energy bills with a variety of features such as geofencing, which turns the heating off when a home is empty, and open window detection, which can automatically lower heating if a change in humidity and temperature is detected.

Those homes with a smart thermostat installed will lower their heating costs from £1,050.55 to just £819.43 when considering the 22% savings that the average smart thermostat household enjoys. This is according to internal data provided by over 2,000,000 tado° smart thermostats across Europe. The potential for savings could also be increased further with the addition of smart radiator valves, which can provide room-by-room control, allowing you to easily schedule a room’s heating without turning off devices around the house manually.

Growth of Smart Thermostats

Intelligent heating management platform tado° recently celebrated 2,000,000 smart thermostat devices sold, using the technology to lower their bills and add convenience and simplicity to their lifestyle. Since 2020, tado° saw a doubling of its sales across Europe, leading to a rapid rate of growth for the industry. According to IDC Insights, the industry grew 24% last year, as the technology approaches mainstream adoption in the fight against high energy prices. (4)

Christian Deilmann co-founder and CPO of tado° says “The energy price cap rising in April marks a watershed moment for smart thermostats in the UK. Those with smart thermostats will start saving on their bills immediately, but those without are exposed to the higher costs. In less than a year these savings will quickly recoup more than the purchase cost of a smart thermostat.”

“Given the recent volatility in the energy market, reducing your energy consumption is the best first-step towards controlling your energy bills. Smart thermostats excel at this, by turning off the heating when homes are empty, and with a variety of other features. These solutions help homes reign their bills back under control”.

tado°'s smart thermostats are the most compatible on the European market, working with over 95% of all European homes and 18,000 heating systems of over 900 OEM’s. Thanks to detailed step-by-step instructions provided in-app, users can easily install the smart thermostats by themself to start enjoying the benefits of lower energy bills. 

tado° smart thermostats also benefit from Energy IQ, a feature that uses meter readings to accurately predict upcoming bills. This feature allows users to set their monthly heating costs, and stick within budget thanks to intelligent heating and control. 

The Future of flexible energy usage 

Energy efficiency and innovation are more important than ever to reduce Europe’s reliance on fossil fuels. With sustainable solutions like heat pumps combined with the intelligent control of tado° and Time-of-Use electricity tariffs, energy will become an affordable and clean solution with lower costs. 

tado° controlled systems can automatically use times of lower-priced energy to heat buffer storage and hot water tanks. In times of high energy prices, tadoº will make use of the stored heat and hot water to avoid buying expensive energy. This reduces energy costs without ever compromising on comfort.

tado°’s solution also serves the future of energy networks and renewables. Flexible energy demand will be key to enabling a fully renewable energy system for Europe.

(1) Average annual consumption of 13,600 kWh for gas, according to BEIS Energy Prices Statistics Team

(3) According to internal data provided by over 2,000,000 tado° smart thermostat devices across Europe

(4) According to IDC Insights, global shipment volume 23.9% increase measured year-over-year

About tado° 

tado° is the European leader in intelligent home climate management. As the only cross-manufacturer platform, tado° Smart Thermostats and services connect with any kind of heating or cooling system. Customers benefit from energy-saving technology such as Geofencing and Open Window Detection as well as time-of-use energy offerings. Founded in Munich, 2011, and with 180 employees, tado° reshapes the way energy is consumed for more comfort, savings, and in sync with nature.


For more high-resolution images of tado° products please click here.

Press contact

Cameron Wood

tado GmbH

Sapporobogen 6-8




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