Which makes no sense whatsoever - it means they'll be paying more for all the electricity they use.
Surely it means they'll be paying more for all the
normal rate lecky they use ? Anything they use off-peak will be cheaper.
But whether it works out depends on what they use.
IF they have a sufficiently large cylinder and can heat their hot water (or at least most of it) at night on off-peak rate,
and they don't use too much during the day, then they may well save. It takes a lot of lecky to heat water. If (picking numbers at random) they use 100l/day, and it's heated by 50˚C (eg from 10 to 60 or from 5 to 55), then that'll take 100 * 50 * 4.2 / 3600 units/day (kWhr/day). That's 5.83 units/day.
Use more water, or heat it hotter, and the unit count goes up.
One obvious way to make best use of off-peak is to have two cylinder stats - one high up (say around 1/2 way or higher) and set at the minimum temperature you generally need. That controls the day-time (expensive) heating if you need it.
Then have a stat high at the bottom of the cylinder (as far down as the IM heats) set very hot. That controls the IM on off-peak and puts as much energy as possible into the cylinder. Then mix the water down with TMVs to avoid scalding hot water at the taps.
If (picking more random numbers) the mains comes in at 5˚, the cylinder is heated to 90˚, and you want water at 45˚ - then the effective capacity of the cylinder is doubled as for every 2l you draw from the hot tap, you use 1l from the cylinder and 1l from the cold mains.
However ...
What hasn't been said is how the property is heated ! It sounds like there are no night storage heaters, so what's replaced them ? If it's (say) gas central heating then the obvious recommendation is to heat the cylinder from the gas boiler and ditch the E7 tariff.
... if they are i will contact dno to remove economy 7 meter
You mean contact the customer's supplier (ie the name at the top of the bills) ? The end user doesn't deal direct with the DNO - only with a supplier who then contracts with a meter operator and the DNO to physically provide the service.