The calculation.
The calculation is in effect two parts. The saving session window and the in day adjustment. Both are added together in order to calculate your session saving "reduction".
Session saving; this takes your average last 10 days usage, per half hour window, and compares them to the session usage per half hour. Any individual half hour period you use less in is added to your savings total. You don't get penalised if you use more in one(or more) half hour session(s).
The in day adjustment. This is the controversial one. This is supposed to indicate if your usage is up or down that day, in order to flex for eg cold weather. But its able to be gamed, should you wish.
The window is from -4 to -1 hours in comparison to the savings session. Eg if savings session is 5:30-7pm then the in day adjustment window is 1:30-4:30
It works the same way, in that it compares your usage to that for the preceding 10 days usage.
However it allows some gaming. Say you use normally 0.5kwh during the day in the in day adjustment window. If you move a load of usage into that window on that specific day then you will end up with a high in day usage adjustment.
Eg say I use my dishwasher and tumble drier and use 5kwh extra in that three hour period compared to normal. Each half hour savings session would be adjusted by 5(kwh) / 6 (3 hours x half hourly) = 0.833kwh being added to my savings, per half hour of the savings session length.
Note, the above 10 days relates to a weekday savings session. Weekends are different but pretty unlikely to happen really. The 10 days also excludes bank holidays and any previous saving sessions days since the usage pattern will be different.