New regulation for heating oil market, but no price controls

The measures include a mandatory code of conduct for heating oil suppliers and giving the Consumer Council an enhanced role in helping consumers resolve disputes.

The Consumer Council will also lead in the creation of an opt-in register for vulnerable consumers.

About two thirds of Northern Ireland households use home heating oil, by far the highest of any UK region.

At the start of the US-Israel attack on Iran in March, heating oil prices in Northern Ireland rose by a record monthly rate of 92%.

That compared to the previous largest spike of 59% in March 2022, after the Russian invasion of Ukraine.

Analysis by the CMA suggested that prices rose even more steeply in Scotland and Wales, where heating oil is typically used in remote rural areas.

It found that prices tended to be lower in Northern Ireland overall as it has a competitive range of suppliers and a market which is big enough to minimise delivery costs.

The CMA said that the huge spike in prices at the start of the Iran conflict largely reflected rising wholesale costs.

It did not recommend price controls suggesting they could be counterproductive.