Reeves to look at how to help households with heating oil bills

The chancellor said a meeting on Wednesday will explore ways to help households.

Chancellor Rachel Reeves has promised to explore options to address the "unique challenges" faced by households reliant on heating oil amid the US-Israeli war with Iran. The global oil price reached nearly $120 (£89) a barrel on Monday, a four-year high, though it has since fallen. The jump was sparked by fears of a lengthy disruption to supplies caused by the war. Those who use heating oil often store it in a tank outside their property and are among the first to feel the impact of rising prices. Reeves promised meetings between the Treasury and rural and Northern Ireland MPs on Wednesday to look at "action we can take" to support those using heating oil. The increase sparked a surge in the price of heating oil, with households in Northern Ireland facing an 81% increase in bills, while some in rural homes in England have reported prices doubling.

Chancellor Rachel Reeves has declared that using public money to address soaring heating oil prices is "not the solution". Around 1.5 million UK homes, approximately 5 per cent of the total, rely on domestic heating oil, and have experienced dramatic price increases amid the Middle East crisis. Fears of lengthy supply disruption emerged after Iran launched strikes across the region in response to actions by the US and Israel. Unlike gas and electricity, which benefit from regulator Ofgem’s price cap, heating oil users are uniquely vulnerable to such market shocks, lacking similar cost limits.

Chancellor Rachel Reeves has promised to explore options to address the "unique challenges" faced by households reliant on heating oil amid the US-Israeli war with Iran. The global oil price reached nearly $120 a barrel on Monday, a four-year high, over fears of a lengthy disruption to supplies caused by the war. Those who use heating oil often store it in a tank outside their property and are among the first to feel the impact of rising prices. Reeves promised meetings between the Treasury and rural and Northern Ireland MPs on Wednesday to look at "action we can take" to support those using heating oil. The increase sparked a surge in the price of heating oil, with households in Northern Ireland facing an 81% increase in bills, while some in rural homes in England have reported prices doubling.