Home & Energy Calculator

LED Savings Calculator

Estimate how much electricity and money you could save by replacing old bulbs with LED bulbs, including payback time.

Calculate LED bulb savings

Compare old bulb wattage with LED bulb wattage, then add how often the lights are used. The calculator estimates annual kWh saved, electricity savings and payback period.

bulbs
How many bulbs you plan to replace.
W
Typical older incandescent or halogen bulb wattage.
W
Typical LED replacement wattage.
hrs
Average daily use for these bulbs.
days
Use 365 for year-round lighting.
p/kWh
Use your own unit rate if known.
£
Total cost for all LED bulbs.
Changes the main result note only.
Default electricity rate: 26.11p/kWh, based on Ofgem average Direct Debit electricity rates for 1 July to 30 September 2026. LED efficiency varies by bulb and brightness.
Estimated annual saving £145.82

Replacing 10 bulbs could save about 558.45 kWh per year.

Old annual cost £171.55 Estimated running cost of old bulbs.
LED annual cost £25.73 Estimated running cost of LED bulbs.
kWh saved 558.45 Annual electricity reduction.
Payback period 2.5 months Purchase cost ÷ annual saving.
Old bulbs
657.00 kWh
LED bulbs
98.55 kWh

LED savings formula

LED savings come from the difference between the old bulb wattage and the LED wattage. The bigger the wattage drop and the longer the lights are used, the bigger the saving.

old annual kWh = old watts × bulbs × hours × days ÷ 1,000 LED annual kWh = LED watts × bulbs × hours × days ÷ 1,000 annual saving = kWh saved × electricity unit rate

LED payback period

Payback period is how long it takes for the electricity savings to cover the cost of buying the LED bulbs.

payback years = total LED purchase cost ÷ annual electricity saving

If the purchase cost is low and the lights are used often, the payback can be quick. If the lights are rarely used, the payback will take longer.

Why LED bulbs can reduce lighting costs

LEDs normally produce similar brightness with much lower electricity use than older incandescent or halogen bulbs. Energy Saving Trust says LEDs are the most energy efficient light bulb and can use about 80% less electricity than halogen lights for similar power output.

Step 1

Find old wattage

Check the old bulb label, packaging or fixture information.

Step 2

Choose LED wattage

Compare brightness using lumens, not just watts.

Step 3

Estimate payback

Compare annual electricity saving against the LED purchase cost.

Watts vs lumens

Watts measure power use. Lumens measure brightness. When switching to LEDs, choose bulbs based on lumen output so the room is still bright enough.

A lower-wattage LED may give similar brightness to a much higher-wattage older bulb, which is why the running cost can be lower.

How LED savings fit into your energy bill

Lighting is only one part of a household energy bill, but it is often one of the easier areas to improve. For a fuller picture, compare lighting savings with appliance costs and your whole bill estimate.

Compare appliance costs

Use the electricity cost calculator to estimate the running cost of any appliance.

Use electricity cost calculator

Estimate your full bill

Use annual gas and electricity usage, unit rates and standing charges to estimate your whole energy bill.

Use energy bill estimator

LED savings calculator FAQs

How do I calculate LED savings?

Compare old bulb wattage with LED wattage, multiply the difference by bulbs and usage hours, then apply your electricity unit rate.

Are LED bulbs always cheaper to run?

Usually yes, when they provide similar brightness with lower wattage. The exact saving depends on wattage, hours used and electricity price.

What is LED payback?

It is the time it takes for electricity savings to cover the cost of buying the LED bulbs.

Should I compare watts or lumens?

Use watts for running cost and lumens for brightness. A good LED replacement should save power while still giving enough light.