Conservative MP Harriet Cross has demanded an urgent investigation by the Competition and Markets Authority into what she describes as "blatant profiteering" by heating oil suppliers during the ongoing Middle East conflict. The MP for Gordon and Buchan has raised serious concerns about suppliers doubling prices for vulnerable households across the United Kingdom.
Price Hikes and Consumer Harm
Cross has written directly to the CMA, detailing evidence of sudden and dramatic price increases that have left many households struggling to afford essential heating. She reported that constituents have experienced existing delivery bookings being cancelled, only to be offered the same oil delivery on the same day at twice the original price. This practice particularly affects rural areas where heating oil is the primary energy source.
Vulnerable Households Impacted
Approximately 1.7 million UK households rely on heating oil, primarily in rural regions not connected to the mains gas network. These consumers have seen prices nearly treble since the beginning of the conflict in Iran, creating significant financial strain. Cross emphasized that those affected are "disproportionately rural, often elderly and vulnerable," with many facing impossible choices between heating their homes and other essential expenses.
The situation is particularly acute in Northern Ireland, where heating oil serves as the primary heating source for two-thirds of homes. In Wales, about 10% of households depend on heating oil, while in Scotland the figure stands at 5%. Within Cross's own constituency of Gordon and Buchan, 45% of homes lack mains gas connections, making them reliant on heating oils or liquefied petroleum gas.
Government Response and Industry Data
Energy Secretary Ed Miliband has written to the UK and Ireland Fuel Distributors Association, seeking clarification on whether consumers are being treated fairly. Meanwhile, Chancellor Rachel Reeves has acknowledged the "unique challenges" facing households dependent on heating oil and has promised to consider further government action following meetings with officials and MPs from affected regions.
Industry data reveals the dramatic scale of price increases. According to UKIFDA figures, kerosene prices nearly doubled between late February and early March. The average price for jet kerosene—which heating oil prices are linked to—rose from 44.2p per litre before February 24th to 87.4p per litre by March 9th.
Regulatory Gaps and Proposed Solutions
Heating oil costs are not covered by Ofgem's energy price cap, creating a regulatory gap that allows for significant price variation between suppliers and regions. Cross is advocating for a mandatory price transparency scheme that would enable consumers to easily identify the most affordable suppliers. She has also asked consumer watchdogs to examine what she believes constitutes "evidence of longstanding consumer harm."
The CMA has issued a warning to suppliers, stating that it expects consumers who have ordered heating oil to receive it at the agreed price. The authority has pledged that it "won't hesitate to take action" if it suspects violations of consumer or competition law.
Real-World Consequences
Dave Chapman from Derry highlighted the human impact of these price increases, noting particular concerns for elderly residents and those with respiratory conditions. "For people with respiratory problems, like myself, it is essential to maintain a stable temperature," Chapman explained. "Although we are far from the conflict zone, the effects of closed supply lines may continue to cause problems for many weeks or even months to come."
Specific examples from Cross's constituency illustrate the severity of the situation. Some households have seen the cost of 700 litres of heating oil double from £500 before recent Middle East conflicts to over £1,000, while simultaneously facing extended delivery times that leave them vulnerable to cold weather conditions.
The combination of global oil market volatility, reliance on Gulf suppliers for jet fuel (which heating oil prices track), and the absence of regulatory price protection has created a perfect storm for heating oil consumers. As the situation continues to develop, pressure mounts on both regulators and the government to implement effective solutions for those most affected by these dramatic price increases.
