The Competition and Markets Authority has put a long-overlooked energy gap back on the agenda: the 1.5 million UK households that rely on heating oil do not enjoy the same consumer protections as people on mains gas and electricity. For many off-grid homes, especially in rural areas, that means facing essential winter costs with fewer safeguards when prices jump or deliveries fail. This is not only a regulation story. It is an energy resilience story. Heating oil is usually bought in large one-off deliveries, with household bills of around £500 or more at a time, so any disruption lands hardest on people with the least room in their budgets and the fewest local options.

The CMA opened its market study after conflict in the Middle East disrupted supply and sent prices sharply higher in spring 2026. According to CMA statistics, average heating oil prices rose from 64 pence per litre in February 2026 to 104 pence per litre in March 2026, then peaked at 123 pence per litre in April 2026, which was 92 per cent above February levels. That shock was painful, but the CMA's analysis matters because it separates price pressure from profiteering. The watchdog found the retail surge largely tracked wholesale costs: around 83 per cent of the March increase came from higher wholesale prices, while supplier operating costs explained another 6 per cent. A typical 500-litre order rose from about £320 to about £520 in March 2026, with roughly £170 of that increase linked to wholesale markets.

The authority says the overall market is generally competitive, and most households can compare suppliers. But geography still decides too much. Northern Ireland, where more than 60 per cent of households use heating oil, tends to see lower prices because homes are closer together and deliveries cost less. In February and March 2026, average prices moved from 57p to 97p per litre there, compared with 69p to 113p in Scotland. That regional gap is a warning for policymakers. In more remote parts of Scotland and other off-grid areas, households often have fewer suppliers to choose from and higher delivery costs built into every order. Around 60 per cent of UK heating oil purchases are placed online, yet digital ordering does not solve a thin market when the nearest alternative supplier is far away or urgent delivery slots are scarce.

What the CMA found, then, is not a failed market in the broadest sense but a clear protection gap. Heating oil customers lack the consistent support standards, complaints routes and independent dispute resolution that gas and electricity users can expect. In calmer periods that gap may be easy to miss. In cold snaps, supply shocks or more severe weather, it becomes much harder to ignore. Sarah Cardell, chief executive of the CMA, has framed the issue in basic terms: reliable heating and hot water are essential services, and competition on its own does not guarantee fair outcomes. That is especially true for vulnerable customers and for communities where a single delayed or cancelled delivery can mean real hardship.

The CMA is urging the UK government and the Northern Ireland Executive to create a proportionate rulebook for heating oil suppliers rather than a one-size-fits-all system. The proposals are practical: suppliers would register, meet minimum standards on how prices are quoted and how cancellations are handled, and give customers access to independent dispute resolution if problems are not resolved directly. The watchdog also wants clearer signposting of payment plans and minimum purchase volumes, alongside a register of vulnerable households so support can be targeted faster when disruption hits. Just as important, it recommends reviewing minimum order rules so people can buy smaller amounts of fuel. For households managing tight monthly cash flow, that change could reduce the pressure to find several hundred pounds at once.

The most forward-looking recommendation goes beyond market conduct. The CMA says governments should consider whether communities most exposed to high and volatile heating oil prices should be prioritised for transition to alternative energy sources. It also points to a possible Scottish price checker, modelled on the Consumer Council for Northern Ireland tool, to give households a clearer view of local prices before they order. That is where consumer fairness meets the clean-heat shift. A better price checker can help people today, but it will not remove the basic risk of depending on a globally traded fuel for home warmth. Prioritising the most exposed rural communities for cleaner alternatives would start to cut both the cost risk and the emissions problem, while making off-grid homes less vulnerable to the next geopolitical shock.

Alongside the market study, the CMA has been examining complaints that some suppliers cancelled orders in ways that may have breached contract terms. Its analysis suggests around 1,700 households were affected. Many received refunds for their original order, but that did not restore what they had lost: some had to re-order at much higher prices, while others were left without fuel. The authority says affected households may have paid £150 to £350 more for replacement oil. Following CMA engagement, several suppliers have agreed to compensate consumers by covering the difference or by honouring the original order at the agreed price where no replacement purchase was made. Not all firms have agreed, and the watchdog says it is preparing court-based enforcement action against those that still refuse. That response matters because rights only count when people can use them.

The CMA has separately written to liquefied petroleum gas suppliers to remind them of their duties under consumer protection law, though it has not found a breach and says none should be assumed at this stage. Its next step on heating oil is to work with governments, regulators and the industry on the recommendations, while continuing talks on compensation. For Eco Current readers, the lesson is clear. The UK cannot talk seriously about energy security or a fair clean-heat transition while off-grid households remain more exposed to price spikes, weaker complaints systems and postcode-based disadvantage. Short-term protections can make the next disruption less harmful; targeted investment in alternative heating can reduce the need for those emergency fixes altogether. For rural homes, resilience starts with being treated as part of the energy system, not an afterthought.