Heating oil prices at their lowest levels since winter 2016 but shoppers are advised to buy early and beat the winter cost spike according to new research by BoilerJuice.
In Renfrewshire & East Renfrewshire, there are more than 400 homes that use heating oil to power a heating system, and 1.6 million across the UK.
You may be wondering when is the cheapest time to stock up but according to a new study by BoilerJuice, the UK’s largest independent buying platform for heating oil, the summer months are by far one of the cheapest times of the year to buy heating oil. The average price per litre for Kerosene 28, the most common heating oil used by UK households, was around 45p in December 2016, with the same price recorded in December 2014.
At the start of August, this is now 38p per litre, offering shoppers an 18% saving to purchase during the summer months. Research conducted by PCP shows that one in four (25%) heating-oil households buy in the summer and save money.
Households who buy their heating oil in the hotter months can save over £300 per year (£717 versus £1028). On average, a three-bedroom home using heating oil will order deliveries two or three times a year, topping up between 1,000 to 2,000 litres depending on the size of tank and energy usage. This typically equates to an annual bill of £776.
But prices are seasonal and usually in the summer months, the costs are likely to decrease. If you want to beat the seasonal price hikes, now is a great time to stock up on heating oil. This is because the price you pay for your oil is directly influenced by the wholesale price suppliers pay and while this fluctuates on a daily basis, the summer is often the best time to buy.
Low demand drives prices down with December or January usually being the priciest month.
Lee Cowles, MD of BoilerJuice, said: “Most people buy heating oil when they need it, typically as the weather gets colder and homes need more heating, but the best time to buy is usually during the summer. In 8 out of the last 10 years, prices have been lowest in summer, so we advise those looking to save money to buy in advance, when demand is low and the price reflects that. Plus, unlike with other utilities, consumers aren’t tied into a contract, making it very easy to switch.
“While no-one can predict the future – when demand is low in the summer you’re far more likely to get your oil cheaper.”
BoilerJuice gives all households with heating oil the chance to get a better deal by using technology that allows more than 150 suppliers to bid for your business, as well as a fast and fuss-free switching service for customers.
For more information visit www.BoilerJuice.com, download the app or call to speak to a real person call 0333 696 1165.