Around 1.5 million UK homes, approximately 5 per cent of the total, rely on domestic heating oil, and have experienced dramatic price increases amid the Middle East<\/a> crisis. <\/p>\n Fears of lengthy supply disruption emerged <\/a>after Iran<\/a> launched strikes across the region in response to actions by the US and Israel. <\/a><\/p>\n Unlike gas and electricity, which benefit from regulator Ofgem\u2019s price cap, heating oil users are uniquely vulnerable to such market shocks, lacking similar cost limits.<\/p>\n The Chancellor acknowledged the “unique issues” surrounding heating oil, noting its particular impact on rural communities and Northern Ireland, where 60 per cent of households depend on it. <\/p>\n Treasury minister Lord Livermore is scheduled to meet with MPs on Wednesday to discuss these challenges.<\/p>\n Meanwhile, Ms Reeves has asked the Competition and Markets Authority (CMA) to look at the cost of heating oil, as well as fuel pump prices, to prevent price gouging.<\/p>\n open image in gallery<\/p>\n Ms Reeves has asked the Competition and Markets Authority (CMA) to look at the cost of heating oil, as well as fuel pump prices, to prevent price gouging. (AFP\/Getty)<\/p>\n But Ms Reeves has indicated that she will not be providing any relief to heating oil customers with public funds.<\/p>\n Her comments came after Liberal Democrat energy spokesperson Pippa Heylings called on the Government to introduce three months of zero rating for VAT on heating oil.<\/p>\n During Treasury questions in the Commons, Ms Heylings said: \u201cIn my constituency of South Cambridgeshire, as we\u2019ve heard from constituencies around the chamber, there are many rural and semi-rural households who have to use oil for heating and over the last week have seen those prices double.<\/p>\n \u201cI\u2019ve heard the Chancellor is considering potential measures to support them.<\/p>\n \u201cWill she support the Liberal Democrats\u2019 three months zero rating for VAT on heating oil for all of those residential homes, and other measures to protect them from these just massive spikes and impact on their bills?\u201d<\/p>\n open image in gallery<\/p>\n The Chancellor acknowledged the “unique issues” surrounding heating oil, noting its particular impact on rural communities and Northern Ireland, where 60 per cent of households depend on it. (PA)<\/p>\n Responding, the Chancellor said: \u201cThere\u2019s two things going on in terms of heating oil.<\/p>\n![\"Ms](\"https:\/\/www.newsbeep.com\/uk\/wp-content\/uploads\/2026\/03\/BRITAIN-IRAN-US-ISRAEL-WAR-FUEL-jh6320gc.jpeg\")
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