The Department for Work and Pensions is calling on vulnerable households across Britain to find out whether they qualify for assistance from a £50million fund cost of living fund.
In England, the money will flow through the Crisis and Resilience Fund, which became operational from April 1.
The government department posted on X stating that more than £50million in immediate support is available for those who depend on heating oil to warm their homes.
They said: “The government is providing over £50m in immediate support for vulnerable households who use heating oil to heat their homes.”
It added: “Do you use heating oil? Support is available for rising costs. Contact your local council and check if you’re eligible.”
Families who heat their properties with oil rather than mains gas are being encouraged to get in touch with their local authority to determine whether they can receive help.
The support package, unveiled by Chancellor Rachel Reeves and Energy Secretary Ed Miliband, is primarily aimed at low-income households in rural communities where oil heating remains widespread.
The £50million pot will be divided among the four UK nations, with England receiving £27million, Northern Ireland getting £17million, Scotland allocated £4.6million, and Wales receiving £3.8million.
Local authorities and devolved administrations will handle distribution, concentrating resources in areas where oil-fired heating systems are most prevalent.
DWP issues update on cost of living payments 202 | GETTY
Unlike customers who use mains gas or electricity, those relying on heating oil have no protection from the energy price cap.
This leaves them particularly vulnerable to sudden cost increases and often forces them to pay substantial amounts upfront when refilling their tanks.
Kerosene prices have climbed sharply in recent months, outpacing other fuel types and reaching levels considerably higher relative to crude oil prices.
Disruption in global energy markets stemming from conflict in the Middle East has driven the surge in heating oil costs, with officials noting that prices have risen faster than other fuels.
Chancellor Reeves acknowledged the severity of the situation, saying: “Heating oil prices have spiked sharply, and I know that for families in rural communities, that is a real and urgent problem. That’s why we’re putting over £50million of support to help the people who need it most.”
The think tank’s analysis suggests the average household could end up £480 worse off due to the Iran conflict’s impact on energy markets
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GettyEnergy Secretary Miliband emphasised the government’s commitment to addressing cost of living pressures, stating: “With this investment, alongside new measures to protect customers against any unfair practices, we are standing up for the British people.”
Ministers have also pledged to strengthen protections for heating oil customers, including improved price transparency, more flexible delivery arrangements, and priority assistance for vulnerable households.
The government is exploring broader reforms, potentially including a dedicated regulator or ombudsman for the sector, which currently falls outside Ofgem’s oversight.
The heating oil support comes amid growing concerns about the broader energy crisis facing UK households.
Chancellor Rachel Reeves explained heating oil prices have spiked sharply, and it’s is a real and urgent problem
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GB NEWSDhara Vyas, chief executive of Energy UK, has warned that rising bills in July are unavoidable, telling a Resolution Foundation panel: “I think it’s inevitable that bills will go up on July 1, because we are more than halfway through the observation window, but I don’t know yet by how much.”
The think tank’s analysis suggests the average household could end up £480 worse off due to the Iran conflict’s impact on energy markets.
Ms Vyas described the situation as “wildly unpredictable,” noting that energy security is more at risk than ever before.
She urged ministers to accelerate efforts to identify households needing targeted assistance, describing it as “frustrating” that around 2.5 million eligible families are thought to miss out on schemes like the warm homes discount.