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Heating oil price soars in Scotland as rural homeowners face ‘astounding’ bills

Home heating oil prices
Home heating oil prices have soared by 150%.

Rural homeowners who rely on oil heating in their homes are facing “astounding” increases in their energy bills, with prices soaring by 147%.

As Scots reel from rising prices at the fuel pump, the cost of home heating oil has increased to some of the highest prices ever recorded.

The average price per litre in Scotland for 1000 litres of Kerosene was £1.15 today [March 10], up from 46p per litre at the same time last year – the highest it has been for four years.

The vast majority of homes in Scotland have gas central heating, but significant numbers in rural areas of Angus, Perthshire and Fife still rely on oil-based systems.

One Angus resident told The Courier his heating bill had more than doubled, with the cost of 800 litres of Kerosene rising from £320 in September to over £660 in February.

Ross MacCallum, who lives in Barry, said: “It has reached the point when we are turning down thermostats and trying to preserve as much heating oil as we can.

He added: “Fortunately the warmer weather is on the way, but I don’t foresee the price going down any time soon.

“No matter what fuel you use to heat your home, there would seem to be no escaping soaring prices.”

He added: “We are lucky in so much as we have a wood burning stove so can retreat to the lounge with the fire on, but I’m rattling through the logs too.

“It is difficult working from home too as the house needs heated throughout the day – the heat of industry isn’t quite enough to keep me warm.”

Why is the cost of home heating oil rising?

Scottish Fuels, owned by Certas Energy, said prices are volatile in part due to the Russian invasion of Ukraine.

“Due to the Russian invasion of Ukraine, oil supplies have been severely impacted,” a spokesperson said.

“Prices are extremely volatile and changing on an hourly basis.”

Lyndsey Burton, managing director of comparison website Choose, pointed out those who do use oil are not protected by the energy price cap, meaning they had seen prices hit high after high in recent months.

Kerosene price rises to record high

She told The Courier: “Buying heating oil now costs almost three times as much as it did before Christmas, leaving many families struggling to keep warm.

“Heating oil is considered a niche issue by some, with only 4% of homes relying on it to heat their homes.

“Yet many rural households depend upon heating oil and can’t simply switch to another fuel source.

“These rural communities are being disproportionately affected by global events right now while the government reacts slowly and inadequately.”

Lyndsey said householders were being supported with a “patchwork of insufficient measures”, and called on the government to reconsider a cut to VAT on heating oil.

Oil heating tank
Age Scotland said many will be dreading topping up their oil heating tanks.

Chancellor Rishi Sunak has been urged to consider an immediate 5% cut on the tax, something the UK Government has repeatedly ruled out.

Age Scotland said it continues to hear from older people concerned about the cost of energy.

Adam Stachura, head of policy and communications at Age Scotland, said: “This is a wild price hike and will make life very difficult for people who rely on it to heat their homes.

“A 150% increase over the last two years is astounding and far outstrips the rise in the cost gas and electricity over the same period.

Their only options are to use far less or go without other essentials in their lives. This is not an acceptable position for people to be in

Age Scotland

“It also means that people now need to find a huge amount of cash to pay for this upfront which could be a real difficulty. They will be dreading needing to order more for their tanks.”

He said the government should look at the need for a measure similar to the energy price cap for oil and solid fuel heating systems.

Adam added: “Over the last two months we have heard from hundreds of older people who are worried about the cost of their energy bills and genuinely don’t know who they will afford to pay for what they need to use.

“Their only options are to use far less or go without other essentials in their lives. This is not an acceptable position for people to be in.”