Suffolk MP calls for heating oil price cap over fears rural households could struggle this winter
Adrian Ramsay warns rural households could struggle to afford to keep their homes warm this winter.
Adrian Ramsay, the Green Party MP for Waveney Valley, wants the Government to introduce a price cap, provide additional financial support and accelerate plans to regulate the heating oil industry.
He says people living in rural communities are particularly vulnerable to sudden price rises because many properties are not connected to the mains gas network.
Unlike gas and electricity customers, households relying on heating oil are not protected by Ofgem's energy price cap.
Mr Ramsay warned that the Government's existing measures were insufficient.
"The action the government's taking is just not going anywhere near far enough when people have seen their prices shoot up," he said.
"There's a real risk of people finding their heating oil being totally unaffordable this winter."
Why are rural households particularly affected?
Research cited by Mr Ramsay's office suggests approximately 32.7% of homes in Waveney Valley rely on heating oil.
The figure comes from an analysis of domestic Energy Performance Certificates, which provide information about the heating systems recorded in properties, rather than a complete census of every household.
Heating oil is commonly used in rural areas where homes are not connected to the gas network.
Unlike customers who receive their energy through the gas or electricity grid, households using heating oil typically purchase fuel in bulk deliveries.
Prices can fluctuate significantly depending on international oil markets, creating uncertainty over how much the next delivery will cost.
Mr Ramsay says the consequences can be particularly difficult for families and pensioners.
"No one should be left in the cold, without hot water, or worrying about how they will afford the next delivery," he said.
He is calling for stronger protection for those most exposed to rising costs.
"What I want to see from the government is the introduction of a price cap," he said.
"I want to see further financial support that actually gets through to people on the ground."
Government announces new protections
Earlier this month, the Government announced plans to regulate the heating oil sector for the first time, following a Competition and Markets Authority (CMA) investigation into the industry.
The CMA found that heating oil customers have fewer consumer protections than those using mains gas and electricity, particularly over pricing, cancelled deliveries and access to complaints procedures.
The Government says it intends to introduce stronger consumer rights, improve support for vulnerable households and make it easier for customers to seek redress when things go wrong.
However, ministers have acknowledged that developing the new regulatory system will take time.
In its formal response to the CMA's findings, published on 13 October, the Government said it was not proposing to introduce a price cap equivalent to the one covering domestic gas and electricity.
It said its approach would instead focus on targeted financial assistance, monitoring prices and strengthening consumer protections, following the CMA's recommendation against regulating heating oil prices at this stage.
Is financial support available?
The Government previously announced £53 million in targeted assistance for vulnerable households affected by heating oil price increases.
The funding was allocated across the UK, including £27 million for England, where support is being distributed through local authorities under the Crisis and Resilience Fund.
However, Mr Ramsay believes the overall package is insufficient given the number of people who depend on heating oil.
He has raised the issue in Parliament, including during a Westminster Hall debate in April, and has submitted written questions to ministers about support for off-grid households.
He is also calling for faster improvements to home insulation and greater access to renewable heating systems, which he argues would reduce households' exposure to volatile fossil fuel prices.
The Government currently offers grants of up to £9,000 through the Boiler Upgrade Scheme for eligible off-gas-grid properties replacing oil or LPG heating with a heat pump.
But Mr Ramsay says longer-term improvements must be accompanied by immediate help for people facing higher bills.
"That's a long term answer," he said, referring to insulation and renewable heating.
"In the short term it's about a price cap and it's about the financial support that people need this winter."
What has the Government said?
Energy Consumers Minister Polly Billington said the Government's proposed reforms were intended to ensure heating oil customers received fair treatment.
In a statement announcing the measures on 13 October, she acknowledged that customers had experienced difficulties following sharp price increases earlier in the year.
The Government says it is working with industry and consumer organisations to improve existing codes of conduct while developing a longer-term regulatory framework.
It has also committed to reviewing minimum delivery quantities, which can require households to purchase more heating oil than they can afford or immediately need.
Ministers maintain that stronger regulation, targeted support and improvements to home energy efficiency offer a more appropriate response than imposing a price cap.
Mr Ramsay says he will continue pressing for additional action to protect rural communities as winter approaches.