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Government’s £50m heating oil pledge met with tough questions

A £50 MILLION government support package for households reliant on heating oil has sparked fresh debate — particularly in rural areas where many residents remain exposed to volatile fuel prices.

Announced this week by Chancellor Rachel Reeves, the funding is aimed at low-income families struggling with the rising cost of kerosene, which has surged amid ongoing instability in the Middle East.

Unlike gas and electricity, heating oil is not covered by a price cap, leaving households – many of them off-grid – vulnerable to sudden spikes and forced to pay large upfront costs to heat their homes.

Energy Secretary Ed Miliband said: “This government is committed to fighting people’s corner in tackling cost of living pressures.

“To bridge the gap, the Chancellor is announcing over £50 million of targeted financial support, helping low-income households in rural communities who have no choice but to top up their tanks at a time when prices have risen so significantly.”

But the announcement has not gone unchallenged.

Speaking in the Commons, South West Wiltshire MP Andrew Murrison pressed ministers on how the figure had been calculated and how the scheme would work in practice.

Dr Murrison addresses the minister.

He said: “How was the sum of money that the Minister announced arrived at? Was there any reference to the increased tax receipts that the Treasury will see as a result of hikes in oil prices?

“Will he lay out the criteria on which the money will be awarded? Without such criteria, he cannot possibly approach rationally the amount of money that he will be giving people in order to help them.

“Finally, how are my constituents to spot the price manipulation that he has asked them to report?”

Responding, minister Martin McCluskey said: “On the right hon. Gentleman’s final question, his constituents should send any cases of potential price manipulation through the CMA, which will investigate such cases.

“As for how allocations have been arrived at, that is a combination of the number of heating oil households in individual areas and deprivation figures. It will be for local authorities to determine how the scheme works.”

Parliamentary Under Secretary of State (Department for Energy Security and Net Zero) Martin McCluskey.

For many in rural Wiltshire, the exchange highlights a familiar tension between national policy announcements and the lived reality of off-grid communities, where clarity, timing and trust in pricing remain as critical as the support itself.

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