Thousands of households could miss out on vital heating support if the Government reduces VAT on household bills in the upcoming Budget.
More than 21,000 oil-heated homes in North Yorkshire may not benefit from possible cuts to heating costs if the Government reduces VAT on gas and electricity bills, but overlooks rural communities.
OFTEC, which runs an off-grid heating registration scheme, and UKIFDA, which represents liquid fuel distributors, have written to the Prime Minister warning that overlooking oil-heated homes would be "unfair and discriminatory."
Paul Rose, chief executive of OFTEC, and Ken Cronin, chief executive of UKIFDA, said: "Once again there’s a feeling rural homes are being overlooked by this government.
"If the Chancellor cuts VAT for gas and electricity bills in her upcoming Budget but ignores oil heated households, what kind of message does this send to hard pressed rural communities?"
The Government’s current policy encourages households to switch to heat pumps, but recent demonstrations show that rural homes—often older and in need of more work to allow a heat pump to run efficiently—could face costs exceeding £20,000 for the transition.
Even with the £7,500 Boiler Upgrade Scheme grant, many would still need to pay thousands more.
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