Rising heating oil prices put rural Cambridgeshire households under pressure
More than 27,000 households across Cambridgeshire rely on heating oil to keep their homes warm. With prices rising sharply ahead of winter, we are calling for off-grid households to be properly recognised in future government support.
For many people living in rural Cambridgeshire, turning on the heating is not simply a matter of choosing a different energy tariff.
Homes that are not connected to the mains gas network may depend on heating oil or liquefied petroleum gas, commonly known as LPG. These households are not protected by Ofgem’s energy price cap and often have to buy their fuel in large quantities, paying hundreds of pounds upfront for a delivery.
According to Census 2021 data, 27,525 households in Cambridgeshire use oil to heat their homes. Many of these households are in rural communities across South Cambridgeshire, East Cambridgeshire and Fenland. At the same time, an estimated 34,750 households across Cambridgeshire and Peterborough are living in fuel poverty.
The cost of filling an oil tank has risen sharply
Global oil price increases have fed through into the cost of domestic heating oil. Data published by BoilerJuice showed an average price of 94p per litre on 2 September 2026, around 82 per cent higher than on the same date in 2025. At that price, a typical 1,000-litre delivery costs almost £940.
This way of purchasing energy creates a particular challenge for households on low or unpredictable incomes. Rather than spreading their heating costs evenly across monthly bills, people may need to find a substantial amount of money at short notice when their oil tank is running low.
For households already managing low incomes, poor health, caring responsibilities or other pressures, an unexpected fuel purchase can become one cost too many.
When there is no money left for an oil delivery
Through our local work, we see the practical consequences when rural households cannot afford to replenish their heating oil.
Earlier this year, a resident in northern Cambridgeshire who provides full-time care for a family member found themselves without heating oil. Unable to afford another delivery as living costs rose, they had resorted to using expensive electric heaters while also struggling to keep up with other household bills.
Through Cambridgeshire ACRE’s fuel poverty support service, emergency assistance was arranged to secure an oil delivery. The resident was also offered practical energy-saving measures. They later said that the support had made a“huge difference mentally and practically” during a particularly difficult period.
Experiences such as this demonstrate why rural energy poverty cannot be understood through heating prices alone. The way fuel is bought, the limited alternatives available and the need to pay upfront can all increase the pressure on households living off the gas grid.
“For many rural residents, there is simply no alternative”
Hayley Neal, Chief Executive of Cambridgeshire ACRE, said:
“More than 27,000 households in Cambridgeshire rely on heating oil, yet the challenges they face are often overlooked in national conversations about energy costs.
“For many rural residents there is simply no alternative. They cannot switch to mains gas and they often have to find hundreds of pounds at short notice to pay for a fuel delivery.
“We regularly hear from older residents, carers and families who are worried about how they will afford to keep their homes warm as winter approaches.
“Behind the statistics are real people making difficult decisions about heating their homes, buying food or meeting other essential household costs. Any future support package must properly recognise the realities facing households that live off the gas grid.”
Calling for fairer support for off-grid households
As the Government considers further support for households struggling with energy costs, Cambridgeshire ACRE is backing calls from Action with Communities in Rural England, the national charity representing rural communities, for targeted help for homes that rely on alternative fuels.
One proposal is to remove the 5 per cent VAT currently applied to purchases of heating oil. Based on the price quoted on 2 September 2026, this would reduce the cost of a typical 1,000-litre delivery by around £45.
Corinne Pluchino, Chief Executive of Action with Communities in Rural England, said:
“We are grateful that our network of member charities is backing our call to ensure off-grid rural households receive the support they need ahead of winter.
“We remain keen to work with Government on practical measures that can help keep energy costs down and provide reassurance to families facing another challenging winter.”
National energy support needs to reflect the practical realities of rural life. That means recognising not only how much people pay for energy, but how they are required to purchase it and whether they have any realistic alternative.
Without that recognition, thousands of households across Cambridgeshire risk remaining at the edge of national conversations about energy affordability.
