Help if you heat your home using heating oil or liquefied petroleum gas (LPG)

Households using off-grid fuel like LPG or heating oil will receive £200 of extra government help towards rising bills this winter by Direct Debit, credit, or if you have a smart pre-payment meter, the £200 payment will be credited by your electricity provider automatically.

If you have a traditional pre-payment meter your energy company should send you a special action message (SAM) or voucher. The  government has confirmed the payments will be made as soon as possible in the early part of 2023.

Households that use off grid fuels but who don’t pay a domestic electricity bill directly will be able to apply for the £200 Alternative Fuels Payment online. Applications open in March 2023 and we’ll update this page with the link then. 

Separately, all households in Northern Ireland will receive a one-off payment of £600 to help with their energy bills, with payments starting in mid-January. The support will combine £400 worth of support from the Energy Bills Support Scheme Northern Ireland (EBSS NI) and £200 under the Alternative Fuel Payment (AFP) scheme for using off-grid fuel like LPG or heating oil.

The Alternative Fuel Payment will be available to all households in Northern Ireland, not just those who use off-grid fuel.

Customers who pay by Direct Debit will receive the £600 payment into their bank account directly. Other customers will be sent a voucher which they can redeem at a Post Office either as cash (subject to the Post Office having funds available) or by depositing it in a bank or credit union.

Voucher holders will need to take the voucher, the letter from your supplier issued with your voucher and proof of address to the Post Office to redeem your voucher.

Proof of address needs to be dated before 2 January 2023 to be valid.

If depositing into your bank account, you will need to take your bank card or account information with you to the Post Office. If redeeming for cash, a photo ID will be required.

For households in Northern Ireland that haven't automatically been receiving payments because they don’t pay a domestic energy bill, you can find out how to apply for your £600 rebate on GOV.UKOpens in a new window

You can call the NI helpline on 0808 175 3894 from 8am to 6pm, Monday to Friday if you’re struggling to apply online.

The UK government promised £400 worth of support to all households that pay a domestic electricity bill, and payments started in October 2022.

In addition, people living in care homes, caravan parks or houseboats without a direct relationship to an energy supplier will also receive £400 to help with their fuel bills.

In England, Scotland and Wales you can now apply for your £400 Energy Bills Support Scheme (EBSS) payment and find out more about who is eligible on the GOV.UK portalOpens in a new window Call the helpline on 0808 175 3287, 8am to 6pm, Monday to Friday if you need help applying. 

If you’ve already been receiving the £66 or £67 a month EBSS payments towards your bills you can’t claim again for the payment. 

The cost of heating oil depends on a few factors, including:

• the price of crude oil 

• how much you’re buying

• which suppliers cover your area, and 

• when you buy it.

Although some of these might be out of your control, there are still a few ways you can save money on heating oil.  

When it’s time to refill your tank, ask a few suppliers for a quote, and see if there are savings to be made. You can enter your postcode at UKIFDAOpens in a new window or Liquid Gas UK to find the suppliers that cover your areaOpens in a new window

You can also go to BoilerJuice.comOpens in a new window or fueltool.co.ukOpens in a new window to get a price. Then use the UKIFDA or Liquid Gas UK to see if you can find a local supplier that’s cheaper.

Community buying schemesOpens in a new window are where several households group together to bulk buy energy for a discount.  If there are other houses in your local area who use heating oil, find out if there’s already a community or group buying scheme available for you to join.

Find out by asking your neighbours or posting a question in local Facebook groups or on Nextdoor the neighbourhood networking website and appOpens in a new window Buying your heating oil in larger quantities can mean lower prices for members, however it might be more difficult to start your own club at the moment. 

If you can, try and bulk buy your heating oil during the summer. There’s more demand for it when the weather is colder so prices can go up.

Heating oil tanks can fill with sludge that can make them unreliable. If your tank is leaking, it’s bad for the environment and it’s a waste of money too. Book in a service for your tank to try and fix any issues to avoid the expense of needing a new tank. It’s recommended that you get your heating oil tank serviced once a year and do visual checks for any problems regularly. The Heating Hub has a list of preventative maintenance checks you can make yourselfOpens in a new window

Although there’s a significant upfront cost to getting a new boiler, it should mean long-term savings on repairs and lower energy use.   

Boilers that use heating oil are usually more expensive than conventional gas boilers. However, if your boiler isn’t working properly, it could be using more fuel than necessary so it may still be worth switching. 

LPG supply has been affected by the same wholesale price rises as mains natural gas. However, there are some steps you can take to cut costs. 

If you buy LPG in bulk for a tank, compare prices from different suppliers that are available in your area if you’re out of contract and able to switch. 

If you’re tied into your current contract and can’t switch now, set yourself a reminder to shop around just before your contract ends.

If your tank is leaking, it’s not only dangerous, it’s also money down the drain. If you’re worried get in touch with a gas engineer who’s qualified to work on LPG tanks. Check if the maintenance of your tank is the responsibility of your supplier, because it might save you money on servicing and repairs. 

If you live in Scotland: find out what extra financial support you might get from Home Energy ScotlandOpens in a new window

If you live in Wales: find out what extra financial support you could get from Discretionary Assistance FundOpens in a new window

There’s also a one-off £200 payment available to help with the cost of all types of fuel. Find out if you’re eligible and how to apply at Wales Fuel Support Scheme Opens in a new window

For energy saving tips and home improvement grants, go to nest.gov.walesOpens in a new window

If you live in Northern Ireland: find out more about the £400 EBSS NI payments and the £200 Alternative Fuel paymentOpens in a new window

Claim all the benefits you’re entitled to (especially Pension Credit or Universal Credit) because these will passport you to further help, including Warm Home Discount worth £150 a year.

If you are struggling to paying your bills, our Help with the cost of living section gives you lots more information about extra support available and what to do if you’re worried about keeping up with bills and payments.