Oil and gas

Domestic heating oil is normally kerosene, but the customer should confirm the fuel required by the appliance. Suppliers usually quote in pence per litre with a minimum order and delivery conditions.

Unlike capped gas tariffs, heating-oil prices can change between enquiries and may be held for only a short time. Local supply, refinery and terminal conditions, crude-oil and currency movements, weather, order volume and delivery urgency can all affect the quote.

Compare quotes using the same:

• fuel specification;
• number of litres;
• delivery address;
• delivery window;
• payment method;
• VAT treatment;
• additive choice; and
• any small-load, emergency or access charge.

Check whether the quoted price is fixed when the order is accepted or can change before delivery.

Pence per litre is not directly comparable with pence per kWh of useful heat. The energy content of the fuel and boiler efficiency must be included.

The heating comparison calculator uses an editable starting assumption of 10.3kWh of fuel energy per litre. If oil costs 60p per litre and the seasonal boiler efficiency is 85%, the illustrative useful-heat cost is:

60p ÷ (10.3 × 0.85) = about 6.85p per kWh of useful heat

This excludes servicing, electricity used by the system, tank work and delivery-related costs. Use the boiler’s realistic seasonal efficiency rather than its laboratory maximum.

Compare oil and heat-pump costs →

• Read the tank gauge before ordering.
• Leave enough time for a normal delivery rather than relying on an emergency load.
• Check access, hose distance and any delivery restrictions.
• Compare a consistent order size.
• Ask whether a local buying group offers a genuine saving after all fees.
• Keep confirmation of quantity, unit price, VAT and delivery date.
• Check the tank level after delivery and retain the delivery note.
• Do not overfill; allow for the tank’s safe working capacity.

Buying early can reduce the risk of running out, but there is no guaranteed cheapest month. Commodity prices can move in either direction.

The tank should be suitable for the fuel, supported correctly and inspected for corrosion, cracking, bulging, leaks and damaged gauges or pipework. Requirements for bunding and location depend on capacity, risk and local building rules.

Oil-fired appliances and flues should be installed and serviced by a competent technician. Incomplete combustion can produce carbon monoxide, which cannot be seen, smelled or tasted. Fit and test an appropriate audible carbon-monoxide alarm and follow the appliance and alarm instructions.

If a fuel leak or oil smell is discovered, stop the source if it is safe to do so, keep fuel away from drains and watercourses, and contact the supplier, insurer or relevant environmental authority as appropriate. Do not operate an appliance suspected of being unsafe.

For eligible domestic default tariffs in England, Scotland and Wales, Ofgem sets maximum unit rates and standing charges. Regional rates vary, as do rates for Direct Debit, standard credit and prepayment.

The cap does not limit the total annual bill. A household using more gas still pays more. Fixed tariffs are priced separately and are not protected by the cap during their fixed term.

Use the prices page for the current and next confirmed rates rather than copying a figure from an old article.

Check current gas and electricity prices →

The transmission system can receive gas from:

• fields on the UK Continental Shelf;
• pipelines connected to Norway and continental Europe;
• liquefied natural gas terminals; and
• storage withdrawals.

It supplies power stations, homes, businesses, industry, exports and storage injections. The balance changes through the day and across seasons.

An LNG cargo arriving at a British terminal is an import, but gas leaving storage is not new domestic production. Similarly, an interconnector can import at one time and export at another. Use consistent definitions and time periods when describing supply security.

View live gas supply and demand →

Road-fuel prices combine the cost of crude oil, refining, biofuel blending, transport, wholesale and retail margins, fuel duty and VAT. A fall in crude oil does not necessarily produce an equal or immediate fall at the pump because other components and previously purchased stock remain.

Compare like-for-like grades and note whether a displayed average is national, regional or from a particular retailer. A motorway price is not representative of every forecourt.

These measures answer different questions:

• Production: fuel extracted in the UK or UK Continental Shelf.
• Imports: fuel brought into the country.
• Exports: fuel sent out of the country.
• Stock change: fuel added to or removed from storage.
• Transformation: fuel used to generate electricity or make another product.
• Final consumption: fuel used by households, transport, services or industry.

Use government energy statistics for monthly and annual trends and operational data for current flows. A live flow should not be described as an annual market share.

Possible changes include insulation, heating controls, a heat pump, connection to a heat network or a different system suited to the property. Compare the complete cost and practical effect rather than assuming one fuel price decides the answer.

For an oil-heated property, include:

• remaining life of the boiler and tank;
• annual oil use and delivery pattern;
• servicing and tank costs;
• heat-pump design and electrical work;
• radiator, pipework and cylinder changes;
• grant eligibility; and
• the value of freeing the tank space.

Certain eligible off-gas-grid properties in England and Wales can currently receive £9,000 through the Boiler Upgrade Scheme for an eligible heat pump until 31 March 2027. Check the official rules before treating this as confirmed funding.