The Competition and Markets Authority (CMA) has recommended new protections for households in rural Stirling that rely on heating oil, following sharp price rises last year. The CMA's final report found that while the heating oil market is generally competitive, consumers lack the same protections as those connected to the gas grid.
Market volatility and consumer impact
Market volatility has led to price surges, delivery delays, and uncertainty over when heating oil will arrive, hitting rural households hardest. The regulator estimates around 1,700 customers may have been affected, with some forced to pay significantly higher prices for replacement orders.
Several suppliers have agreed to compensate affected customers after CMA intervention, while the regulator continues to pursue action against others.
Recommendations for new regulatory framework
The CMA recommends that governments introduce a new regulatory framework for heating oil suppliers, including minimum service standards, clearer rules on pricing and cancellations, access to independent dispute resolution, and a register to identify and protect vulnerable households.
Households in Scotland are among the most disadvantaged, facing higher prices than the rest of the UK, fewer suppliers, and less price transparency.
Stirling MP welcomes findings
Stirling and Strathallan MP Chris Kane, who led discussions on the issue, said: “Many households across Stirling and Strathallan contacted me during last year’s heating oil crisis after experiencing soaring prices, delayed deliveries and cancelled orders.
“I raised these concerns directly with government ministers and pressed for action to ensure consumers were treated fairly.
“I welcome the CMA’s findings and its recognition that heating oil users need stronger protections.
“No household should be left wondering whether their fuel delivery will arrive or be forced to pay significantly more because an existing order has been cancelled.
“The recommendations set out by the CMA are sensible and proportionate.
“Improved transparency, better protections for vulnerable customers and access to independent dispute resolution would provide much-needed confidence for families who rely on heating oil to heat their homes.”
The CMA's recommendations are now under consideration by governments across the UK.
