First Minister Calls for Urgent UK Government Action on Heating Oil Support
First Minister John Swinney has called on the UK government to "get a move on" with providing support to households affected by the sharp rise in heating oil costs.
Chancellor Rachel Reeves has stated she has "found the money" to assist homeowners impacted by increasing energy prices following the US-Israel conflict involving Iran, although no specific details have yet been released.
Approximately 130,000 households in Scotland rely on heating oil for home heating. The average price in Scotland increased from 67.92p per litre on 28 February to 147p per litre by 8 March, coinciding with the US and Israel launching attacks on Iran.
Swinney criticized UK ministers for "twiddling their thumbs" as the cost of living for rural households escalates dramatically.
Minister for Energy Consumers Martin McCluskey indicated that UK-wide support would be forthcoming from Westminster "as quickly as possible," with announcements expected on Monday.
He told BBC Scotland's The Sunday Show,
"there will be support within that specifically for Scotland, because we know that heating oil in Scotland is much more of an issue than in other parts of the country.
People who are on heating oil should be assured that the government is looking at this."
Why Are Energy Prices Increasing?
Part of Iran's response to strikes by the US and Israel has involved blocking the Strait of Hormuz, a critical trade route through which approximately 20% of the world's oil is transported.
Since the onset of this conflict, households dependent on heating oil have experienced their bills doubling and some have faced order cancellations. Several have been unable to obtain heating oil altogether.
Heating oil is primarily supplied by refineries in the Middle East and is commonly used in rural areas not connected to the main gas grid.
It is not covered by the energy price cap regulated by Ofgem, which is scheduled to decrease in April.
There have been appeals for the UK government to implement urgent protections for the thousands of people in Scotland reliant on heating oil, particularly in regions with long winters and a significant elderly population.
Police in the Highlands and islands have also issued warnings that heating oil tanks may become targets for theft due to increased demand.
Swinney Criticizes UK Government's Delay
Speaking on The Sunday Show, Swinney urged the UK government to "stop dithering" and "get on with taking some decision" regarding the reduction of energy costs.
He stated,
"Of course they are dithering, because we've had an announcement that something is coming and something is coming and something is coming, and it never comes from the UK government.
They better get a move on, because people's heating costs are going through the roof and the UK government is sitting twiddling its thumbs."
UK Government Response and Energy Price Outlook
The UK government has previously acknowledged concerns about the potential impact of global conflicts on the cost of living.
They stated,
"We know that people are concerned about the potential impact of global conflicts on the cost of living.
While it is too soon to know the full impact of this crisis, as the chancellor said, she will take the necessary decisions to help families with the cost of living and protect the public finances."
Household energy bills are expected to decrease by 7% in April, according to Ofgem, following adjustments in charges by the UK government.
However, prices remain approximately one-third higher than before the war in Ukraine, and the number of people in debt has increased significantly.
Gas and electricity bills could face substantial increases from July, after Ofgem's price cap is lifted, due to rising wholesale gas prices.
