Energy · Heating & insulation · 13 October 2026
Government accepts CMA recommendation to regulate heating oil sector
Department for Energy Security and Net Zero says it will accept the CMA's recommendation to strengthen regulation in the heating oil sector. It says the new rules aim to formalise standards and protect vulnerable households.
Department for Energy Security and Net Zero says it will accept the Competition and Markets Authority's recommendation to strengthen regulation in the heating oil sector. The department states that the new regulation aims to formalise standards, protect vulnerable households, and provide clearer compensation routes for consumers.
It says the CMA found that 1,700 households were owed compensation after suppliers cancelled their orders during a price rise. The department notes that it provided £53 million in immediate support to help vulnerable customers during this period. Minister for Energy Consumers Polly Billington said: "We won't accept that." She added: "That's why we will reform the sector, holding heating oil suppliers to account and giving consumers confidence that they will get a fair deal."
The announcement states that the government and industry will work together to develop a regulatory regime for the heating oil market. It says short-term support will include strengthened consumer protections in Codes of Conduct. Practices requiring minimum order volumes of 500 litres will be reviewed to help with cost of living pressures.
The notes do not state a specific timeline for when the new regulatory regime will be fully implemented. They also do not specify which suppliers are currently subject to the 500 litre minimum order volume requirement.
Written by StreetOwl from Department for Energy Security and Net Zero’s own announcement. It was drafted by StreetOwl’s own model, every figure and quotation was checked by code against the announcement, and it was read and approved by Michael Rossi before it went up. It says what was announced, not what anyone should do about it.
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