NRT briefing
Why some have no choice but to pay costly oil prices
Based on reporting by BBC News.
The Brief
BBC News reports that the 1.5 million UK households not connected to the mains gas grid, predominantly in rural areas, are facing rising heating oil costs as winter approaches. The heating oil market is unregulated, so global price changes, driven by tensions in the Middle East and the war in Ukraine, are passed directly to consumers.
Prices jumped from a stable 60p per litre to a high of 134p in March, and currently stand at 111p, according to Boiler Juice.
Interviews across the West of England and Wales illustrate the impact. Pensioner Peter Mason from Minety, Wiltshire, said filling his tank will now cost over £550, compared to £300 last year, forcing him to dip into savings. Van driver Dylan Williams from Monmouth said fuel costs have risen from £120-£130 to £160 per tank, and he has had to increase his prices.
Not-for-profit meal service Dean Forest Kitchen and community care provider TLC Support Service also report significant financial strain.
The Competition and Markets Authority (CMA) has said stronger safeguards and regulatory oversight are needed for vulnerable consumers. The government says it is helping households switch to clean heat with grants, while charities like Surviving Winter are providing local support. Prices might fall if a US-Iran peace deal is reached, but residents feel helpless watching global events dictate their costs.
NRT commentary
How We See It
This report underscores a persistent blind spot in UK energy policy: the regulatory gap between mains gas and heating oil leaves rural households exposed to international volatility. While subsidies and grants exist, they offer little immediate relief to a pensioner facing a £550 fill-up, nor do they address the structural disadvantage of being off-grid.
The government's suggestion for a £9,000 grant is welcome, but it’s a slow, aspirational fix against a fast-moving price spike.
A conservative approach would prioritise market-based solutions, such as encouraging bulk-buying cooperatives and removing VAT on heating oil, as rural charities propose. These steps acknowledge the reality that for many, remaining on oil is their only option. The critical question is whether the government will recognise these communities in the forthcoming budget, or treat them as peripheral to the energy transition.
The instability in the Middle East is a reminder that energy security is national security, and that affordable, reliable fuel must be part of the equation, not an afterthought.
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