Energy
Iran War: UK Rolls Out £53m Household Support as Heating Oil Costs Surge
The UK government has unveiled a £53 million aid package to help households manage rising heating oil costs amid escalating tensions in the Middle East.
Prime Minister Keir Starmer confirmed the funding will focus on low-income families in rural areas, where heating oil remains a primary energy source.
Unlike gas and electricity, which are subject to Ofgem’s price cap, heating oil prices fluctuate directly with global oil markets. Prices spiked sharply this week due to fears that the ongoing US-Israel-Iran conflict could disrupt international energy supplies.
Brent crude rose to $105.61 per barrel in early Asian trading, while West Texas Intermediate hit $101.52, marking a more than 40% increase since joint US-Israeli strikes on Iran began on February 28.
Northern Ireland faces particular pressure, with around 500,000 homes—two-thirds of households—relying on heating oil. Smaller but notable numbers of households in England, Wales, and Scotland also depend on heating oil as their main source of central heating.