The Department for Work and Pensions (DWP) has urged households to check if they are eligible for a share of a £50million support package aimed at helping families cope with soaring heating oil costs.
In a new post on X, the DWP wrote: “The government is providing over £50m in immediate support for vulnerable households who use heating oil to heat their homes.” In an image shared along side the post, it reads: “Do you use heating oil? Support is available for rising costs. Contact your local council and check if you’re eligible.”
The funding, announced by Rachel Reeves and Ed Miliband, is targeted at low-income households, particularly in rural areas where many homes rely on oil rather than mains gas.
Heating oil prices have surged in recent months, with kerosene costs rising sharply due to disruption in global energy markets linked to conflict in the Middle East. Officials say prices have increased faster than other fuels and can now be significantly higher relative to crude oil.
Unlike gas and electricity customers, households using heating oil are not protected by an energy price cap. This means they are more exposed to sudden price spikes and often have to pay large upfront sums to refill their tanks.
In total, £50million will be distributed across the UK, with £27million allocated to England, £17million to Northern Ireland, £4.6million to Scotland and £3.8million to Wales. The money will be distributed through local authorities and devolved governments, with support focused on areas where oil heating is most common.
In England, the funding will be delivered through the Crisis and Resilience Fund, which comes into effect from April 1.
Chancellor Rachel Reeves said: “Heating oil prices have spiked sharply, and I know that for families in rural communities, that is a real and urgent problem.
“That’s why we’re putting over £50 million of support to help the people who need it most.”
Energy Secretary Ed Miliband added: “This government is committed to fighting people’s corner in tackling cost of living pressures. With this investment, alongside new measures to protect customers against any unfair practices, we are standing up for the British people.”
Alongside the funding, the government has pledged to introduce stronger protections for heating oil customers. This includes working with industry to improve price transparency, offer more flexible delivery options and introduce priority support for vulnerable households.
Ministers are also considering wider reforms, including the possibility of appointing a regulator or creating an ombudsman to oversee the sector, which is currently not regulated by Ofgem.
Officials have encouraged anyone struggling with heating costs to contact their local council to find out what support may be available.
The move comes as part of wider efforts to ease cost of living pressures, particularly for households in off-grid communities who have been among the hardest hit by rising energy prices.