Mixed reaction to £53m heating oil support

Farmers and rural households that rely on heating oil will receive targeted support after the government confirmed a £53m package to help low-income families cope with soaring fuel costs.

However, the scale of support has drawn criticism in Northern Ireland, where almost 500,000 households – about two thirds – use heating oil.

The funding package aims to ease pressure on off-grid homes where kerosene prices have surged, leaving many facing steep upfront costs to refill tanks.

Unlike households using gas and electricity, those relying on heating oil in Great Britain and Northern Ireland are not protected by the energy price cap and are more exposed to sudden price spikes.

See also: Heating oil crisis deepens as ministers consider support

The government said kerosene prices had been especially volatile due to the ongoing conflict in the Middle East, with the fuel currently costing about double the crude oil price.

Funding will be distributed through local authorities in England via the new Crisis and Resilience Fund from 1 April, with £27m allocated to England, £4.6m to Scotland and £3.8m to Wales. Northern Ireland will receive £17m.

Announcing the support, chancellor Rachel Reeves said: “We’re putting over £50m of support to help the people who need it most, including funding for the Northern Ireland Executive to deliver support in Northern Ireland where this issue hits hardest.”

NI minister disappointed

NI finance minister John O’Dowd said the funding would make only a limited difference for many households.

He said: “On the basis of the support currently being offered by Westminster, this would amount to roughly £35 per household. I think people will be genuinely shocked and disappointed at how limited that support is.”

More clarity needed – CA

The Countryside Alliance (CA) welcomed the move but said more clarity was needed on how quickly help would reach households, amid industry concerns that households will have to “shiver their way” to 1 April before councils start to distribute the funds.

Tim Bonner, CA chief executive, said: “Ministers will need to ensure that help arrives quickly for the households that need it most. Rural poverty often goes unseen, but it is driven by exactly this sort of inequality.”

The government also confirmed plans to regulate the heating oil sector and introduce new consumer protections.