Heating oil customers whose deliveries were cancelled during the Middle East war price surge are now eligible for up to £350 compensation following a UK Competition and Markets Authority (CMA) investigation. The watchdog found that about 1,700 households had their orders scrapped, then faced significantly higher prices to refuel. This article explains who qualifies, how much you can claim, and what steps to take next.
Why Were Heating Oil Orders Cancelled?
In early 2023, the Iran war triggered a dramatic energy price shock. At its peak in April, heating oil jumped 92% to 123p per litre. Some suppliers cancelled existing orders and offered new deliveries at inflated rates, leaving customers in a bind. The CMA stepped in after complaints of potential contract breaches, forcing suppliers to compensate affected households.
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Who Is Eligible for Compensation?
Eligibility covers customers whose orders were cancelled during the crisis and who either paid more for replacement oil or went without fuel. The CMA estimates affected individuals may have paid between £150 and £350 extra. Those who did not buy replacement oil will have their original orders honoured at the agreed price.
| Compensation Type | Amount | Requirement |
|---|---|---|
| Price difference refund | £150–£350 | Paid more for replacement oil |
| Order honoured | Original price | Did not buy replacement oil |
How to Claim Your Heating Oil Compensation
If you were affected, contact your supplier directly. The CMA has already secured agreements from several companies to pay compensation. For firms still refusing, the watchdog is preparing enforcement action, including court proceedings. Check your records for cancelled orders and any extra payments made.
Key Takeaways
- Up to £350 compensation available for heating oil customers with cancelled orders
- CMA investigation found 1,700 households affected by contract breaches
- Suppliers must pay the difference or honour original prices
- About 1.5 million UK homes rely on heating oil, mostly in rural areas
- Holdout suppliers face court enforcement if they fail to compensate
What Happens Next?
The CMA continues to press remaining suppliers to comply. Chief executive Sarah Cardell stated that 1,700 customers were “left in limbo” and that the regulator is prepared to take legal action. If you haven’t heard from your supplier, reach out to the CMA for guidance.
FAQ
How much compensation can I get for cancelled heating oil orders?
You can receive between £150 and £350, depending on how much extra you paid for replacement oil. If you didn't buy replacement oil, your original order will be honoured at the agreed price.
Who qualifies for heating oil compensation?
Customers whose orders were cancelled by suppliers during the Middle East war price surge and who either paid more for replacement fuel or went without are eligible. The CMA identified about 1,700 affected households.
What should I do if my supplier refuses to pay compensation?
Contact the CMA directly. The watchdog is in talks with holdout suppliers and is prepared to take court-based enforcement action to ensure customers receive compensation.
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