What is Market-Wide Half-Hourly Settlement (MHHS)?

What is MHHS, and what does it mean for businesses? 

Market-wide Half-Hourly Settlement (MHHS) is an industry-wide change to the way electricity usage is measured and calculated across the UK. Under this system, the underlying electricity charges will be based on actual consumption in each half hour rather than the current an estimated profile. 

Currently, many customers, including businesses, are calculated using estimated usage based on average consumption patterns, even if they already have a smart meter installed. MHHS will change this by using actual half-hourly meter readings to charge suppliers, with the intent that customers will select tariffs that reflect times when energy is cheaper.

This change is being introduced across the energy industry by the Government and Ofgem and delivered by Elexon, with support from suppliers, network operators, metering providers and data services. The move to MHHS will help create a smarter, more flexible energy system that supports future innovation, improves efficiency, and helps businesses make more informed energy decisions.

Why is MHHS being introduced?

MHHS is being introduced to improve the energy system for everyone, such as customers, businesses and the wider market. Key benefits include:

• More accurate energy consumption data: Using actual half-hourly smart meter readings instead of estimates gives a clearer picture of energy use across the country.
• Enabling innovation and smarter options: MHHS makes it possible to offer new products, such as flexible energy plans, time-of-use tariffs, and EV charging solutions.
• Supporting efficiency and sustainability: More accurate data helps the industry reduce waste, plan energy supply effectively, and support net-zero goals.

Ofgem estimates that MHHS could deliver between £1.6 billion and £4.5 billion in benefits for energy consumers across Great Britain by 2045, helping create a smarter, more efficient energy system for businesses and households alike.

What does this mean for your business? 

MHHS is a positive step towards a smarter and more flexible energy future for businesses. Here’s what it means for your business:

More accurate billing
With half-hourly meter readings, your bills are more likely to reflect the electricity your business actually uses, helping to improve billing accuracy. If you don’t already have a smart meter please contact us to arrange for one to be fitted.

Greater flexibility and new tariff opportunities
Accurate half-hourly data enables suppliers like us to develop and offer innovative tariffs, such as time-of-use pricing, giving your business greater choice over how and when energy is used.

Supports smarter energy system growth
MHHS supports technologies such as battery storage, solar, electric vehicle charging, and automated building energy systems, helping your business manage energy more efficiently.

Benefits for the wider energy system
Better visibility of energy usage helps the wider market manage electricity supply more effectively, supporting a smarter, more reliable, and more sustainable energy system for everyone.

What does this mean for businesses without a smart meter? 

Businesses with non-smart meters and older meters will not be able to fully participate directly in the benefits of MHHS until they are supplied through meters that can supply half-hourly metered data. MHHS depends on the availability of accurate half-hourly readings delivered remotely by smart or advanced meters.

If your business still operates with a non-smart or manually read meter when MHHS rolls out:

• You will need a meter upgrade before your settlement can transition to using actual half-hourly data; otherwise, your settlement may remain inaccurate, which could affect billing and tariff opportunities. 
• Suppliers may contact you to arrange meter upgrades  as part of the industry’s migration plan. 
• Until migration is complete, you may not yet be able to access new time-of-use or flexibility tariffs , which depend on half-hourly data. 

How can Yü Energy support your business?

If your business needs a smart meter to fully benefit from MHHS, we can help. Yü Energy offers a free installation service when you switch to one of our business energy tariffs.

If you’re already a Yü Energy customer, you can book your smart meter installation through the MyAccount portal for all your smart eligible meters. Simply log in and select ‘Smart Meters’ on the left-hand menu to start the process.

If you’re not a Yü Energy customer, you can use our free online quote tool to begin your journey with us. When you switch to Yü, we’ll install a smart meter, helping your business take full advantage of MHHS.