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CMA secures compensation for hundreds of heating oil customers

Hundreds of heating oil customers are set to receive compensation after their orders were cancelled during price spikes earlier this year.

  • The Competition and Markets Authority (CMA) intervened after some suppliers cancelled orders when heating oil prices surged.
  • Customers who paid more for replacement oil will receive compensation covering the difference, while others will have original orders honoured.
  • Around 800 customers have already been notified, with others to be contacted directly.

The Competition and Markets Authority (CMA) has secured compensation for hundreds of heating oil customers whose orders were cancelled when prices surged earlier this year. The CMA intervened over concerns that some suppliers may have breached contracts by cancelling orders.

Customers who ordered through an intermediary site were impacted, with many forced to buy replacement oil at significantly higher prices, while others went without fuel. The CMA estimates customers may have paid between £150 and £350 more for replacement heating oil.

Suppliers under review have now agreed to pay compensation under the CMA’s scheme. Customers who paid more for replacement oil will receive a payment covering the difference between their original and replacement orders. Customers who did not purchase replacement oil will have their original order honoured at the agreed price.

Around 800 customers have already been notified, and eligible customers will be contacted directly. Those seeking compensation for replacement purchases will need to provide evidence, such as a receipt and delivery note.

Why this matters: Around 1.5 million households in the UK rely on heating oil for hot water and warmth, making it a necessity for many.

What this means for you: If you are an affected customer, you do not need to take any action at this stage, as you will be contacted directly. If seeking compensation for a replacement purchase, you will need to provide evidence such as a receipt and delivery note.

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