Prime Minister Keir Starmer is set to announce tens of millions of pounds in support for households affected by rising energy prices linked to the conflict with Iran. The announcement is expected during a Downing Street press conference on Monday.
The support package is primarily aimed at the estimated 1.7 million UK households that use heating oil, many of which are in rural areas, including Northern Ireland, which Starmer visited last week. These households are not covered by Ofgem's energy price cap.
Oil prices have surged following the effective closure of the Strait of Hormuz, a key global oil passage. The impact is being felt at petrol stations and by heating oil users. The government will provide help in England via councils using the crisis and resilience fund, while devolved administrations in Scotland, Wales, and Northern Ireland will receive funding to deliver assistance.
Starmer will also criticise heating oil suppliers for price gouging, following a warning from the Competition and Markets Authority (CMA) about cancelled or renegotiated deliveries. The CMA has launched a review and written to suppliers for contract information. Starmer stated: "I will not tolerate companies trying to exploit this crisis to make money from working people."
Ministers have not ruled out cancelling a planned fuel duty rise in September. Energy Secretary Ed Miliband told the BBC: "We will stand by the British people in this crisis, and we’ll do what it takes to do that."
