Heating oil suppliers told to compensate customers for price surge at start of Middle East conflict
The Competition and Markets Authority has told heating oil suppliers to compensate customers who were overcharged when prices spiked at the start of the Middle East conflict. Its investigation found possible breaches in cases where orders were cancelled and customers were then offered higher quotes, leaving some rural households facing sharply inflated bills. The issue matters because homes that rely on heating oil are outside the gas grid and lack many of the protections available to mainstream energy customers.
The CMA said about 1,700 customers may have been affected, with individuals paying roughly £150 to £350 more than they should have. Although the watchdog concluded suppliers did not generally profit materially from the crisis, it said the unregulated market leaves off-grid households exposed during volatile periods, especially in remote areas with limited choice. It is now pushing for tougher safeguards, including supplier registration, minimum standards for quotes and cancellations, access to independent dispute resolution, clearer information on payment plans and minimum order sizes, and a review of rules that could allow smaller purchases.
- CMA wants heating oil customers repaid after crisis-related overcharging
- Around 1,700 households may have paid £150 to £350 extra
- Watchdog says off-grid users need stronger market protections
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