Oral Statement to the Northern Ireland Assembly - Response to the CMA Home Heating Oil Market Study - 10 November 2026

Ceann Comhairle, I wish to provide an update to the Assembly on my plans to strengthen protections for people who rely on home heating oil.

Members will be aware that the price of home heating oil increased significantly following the US/Israeli attacks on Iran. A relatively high proportion of people here rely on home heating oil. So, having engaged formally with the Competition and Markets Authority (the CMA) in March on my concerns for consumers, I welcomed its decision to investigate the home heating oil market.

Following the publication of the CMA’s Report in July, I established a Home Heating Oil Working Group comprising officials from my Department, the Consumer Council, and the Trading Standards Service. This Group reviewed the findings and assessed their suitability for the local market. I had a very constructive meeting with the CMA on 15 October, when I indicated that I accepted in principle the recommendations in their report, and this statement incorporates their helpful comments, as I set out the way forward, to the Assembly today.

The CMA found that the local home heating oil market is generally competitive, with prices tending to be among the lowest across these islands. The inflationary spike experienced in recent months was driven primarily by increases in international wholesale prices, which the CMA found accounts for around 83% of the retail price of heating oil.

Nevertheless, the CMA identified the need for stronger consumer protection, support for vulnerable households, and more formal dispute resolution arrangements.

I am therefore bringing forward five key changes.

Firstly, my Department will work with Trading Standards Service to establish a comprehensive suppliers register. Our intention is to explore the use of HMRC’s Registered Dealers in Controlled Oils that every oil supplier here must be signed up to. This will provide a practical and proportionate means of identifying suppliers operating in the market, improving transparency and supporting effective engagement with industry.

Secondly, the Consumer Council will develop an opt-in register of vulnerable home heating oil consumers, using eligibility criteria informed by the CMA's definition of vulnerability and tailored to the specific characteristics of the local market.
Subject to appropriate data-sharing arrangements, the Consumer Council will engage with the Utility Regulator and NIE Networks, to consider the Critical Care Register and the emerging Customer Care Register, in the context of the local heating oil market.

Engagement will also take place with the Information Commissioner's Office to ensure that any data-sharing arrangements are appropriate and compliant with relevant data protection requirements. An opt-in register represents a practical and proportionate means of improving consumer protections while balancing the administrative, operational and data protection challenges associated with establishing and maintaining a more comprehensive register. Such an approach would allow targeted support to be delivered effectively and at lower cost than a register covering all home heating oil consumers.

Thirdly, the Consumer Council will develop plans for a Priority Service Programme for vulnerable home heating oil consumers. The programme will seek to provide protections comparable to those available in the gas and electricity markets. Building on relevant experience from existing support arrangements, including those associated with NIE Networks' Critical Care Register, the programme will help to ensure that vulnerable consumers can be prioritised for support during periods of supply disruption or fuel shortages.

Fourthly, we will develop the existing local Oil Federation voluntary code of conduct into a mandatory code of conduct. The Consumer Council and the Trading Standards Service will use this as an opportunity to improve transparency around minimum order volumes, payment and delivery terms and associated charges can be strengthened. The Consumer Council will continue to have responsibility for advice and dispute resolution in the heating oil market, with the Trading Standards Service able to consider any matters which may constitute breaches of relevant consumer protection legislation.

Fifthly, we will strengthen the Consumer Council's consumer redress role to provide a clearer route for consumers to seek resolution where contract or service disputes arise. Building on the Consumer Council's existing role in providing consumer advice, handling complaints and assisting consumers to resolve disputes with suppliers, future legislative changes could enhance consumer redress arrangements, similar to the function performed by the Energy Ombudsman in Britain. This approach will improve consumer confidence and help secure better outcomes for consumers without the need for a more extensive licensed regulatory regime.

Ceann Comhairle, these measures build on the characteristics and strengths of our distinctive local market, comprised of a large number of suppliers, many of which are micro-businesses, operating in a highly competitive environment.
These interventions are a proportionate way of implementing the recommendations of the CMA Report and will enhance existing heating oil consumer protection at minimal additional cost.