The UK government announced plans on 13 October 2026 to regulate the heating oil market for the first time, accepting a Competition and Markets Authority recommendation to strengthen oversight and consumer protections. According to the Department for Energy Security and Net Zero, the reforms aim to formalise supplier standards, protect vulnerable households and give clearer routes to compensation.

The plans follow record-high heating oil prices earlier in 2026 after conflict in the Middle East. The CMA found 1,700 households were owed compensation after suppliers cancelled orders and customers re-ordered at higher prices; the government says it provided £53 million in immediate support. Industry practices setting minimum order volumes of 500 litres for some consumers would be reviewed, and Codes of Conduct protections strengthened.

Energy Consumers Minister Polly Billington said suppliers would be held to account. The government also cited a £9,000 heat pump discount for heating oil households, with 1,042 voucher redemptions in August for that grant, 32% of the month's total, and July applications up 81% year on year.