Time is running out for Xmas heating oil deliveries

Monday 14th December 2020

Time is running out! As of today there are just 8 delivery days left for pre-Xmas deliveries. Cold weather is forecasted for next week and the Christmas rush is having an effect on prices and logistics.

Not surprisingly, Christmas deliveries do put pressures on distributors. To secure a pre Xmas order be prepared to pay express delivery or other charges.

Market Trends

Crude Oil prices at 14:00hrs 14th December 2020

All of a sudden, Brent hit $50 per barrel on Thursday last week for the first time since March. This has been the effected by the continuing optimism surrounding vaccinations, the OPEC+ deal, plus strong demand in Asia.

Other Market Factors

However, prices eased slightly on Friday 11tth as demand in Europe and the U.S. remains subdued and Covid-19 cases continue to spread. The EIA also reported a surge in crude inventories for last week, up 15.2 million barrels.

Many European countries went back into lockdown in November, but are loosening restrictions again. There are some exceptions to this with Germany ordering a full lockdown for the festive period until January 10th.

UK Market Trends

Festivities at this time of year puts a big strain on all heating oil distributors. At the same time heating oil customers leave it till the last minute to order their Christmas and winter fuel. Heating oil delivery slots are filling up fast and are available at a premium increase in PPL.

A combination of delay and wait tactics combined with higher crude prices has sent local heating oil prices in the UK higher.

Under these conditions circumstances distributor heating oil prices are nearly 10ppl dearer than October.

Time is running out for Xmas heating oil deliveries.
UK Heating Oil Price since October showing rise as Christmas approaches

The good news is they are still 31% cheaper than for the same period last year. Bargains are now hard to find.

Although prices continue to be at an all time 4 Year low, we see further demand for heating oil increasing as the weather becomes colder. Buy heating oil now and fill up.

At this moment in time, we see distributor prices gradually rising during the next 10 days. Most distributors are quoting between 36ppl to 40ppl and brokers are much higher.

UK Regional Analysis

UK heating oil prices have increased by 4.11% this week. Over the last 7 days there has been an increase in the average UK oil distributor heating oil prices.

Time is running out for Xmas heating oil deliveries.

At the moment distributor heating oil prices are trending up.

England – average prices rose by 2.13ppl to 38.88ppl.

Wales – average prices rose by 0.73ppl to 38.47ppl.

Scotland – average prices rose by 1.11ppl to 38.65ppl.

Northern Ireland – average prices rose by 0.41ppl to 31.61ppl.

Heating oil delivery slots are filling up fast. At the present time we recommend you check in on our twitter feed and website. You can request multiple quotes from heatingoilshop.com on a regular basis to avoid any possible imminent price rises.

Distributor Analysis

During the last 7 days, UK heating oil prices have risen by 4.11% this week. This amounts to an average rise of 1.45ppl after adjustment and vat.

Heating oil prices are now trending up again as Brent crude attempts to cross the $51 mark.

At this moment in time, we see domestic prices rising gradually in the next two weeks due to increased crude prices, delivery demands and a cold spell next week.

Time is running out for Xmas heating oil deliveries.

Time is running out for Xmas heating oil deliveries. As of today, the UK heating Oil price of 36.74ppl is 16.55ppl lower than this day a year ago. Not only that, 4 years ago the price was 43.60ppl, 6.86ppl dearer.

As such, this is a great opportunity to reduce heating costs subsatantially. Take full advantage of the lower prices now. Buy heating oil now as cold weather is on its way!

Distributor vs Broker Analysis

Time is running out for Xmas heating oil deliveries. Average prices for distributors rose 1.45ppl on the week. Similarly, average broker prices also rose by 3.27ppl.

The difference between average distributor heating oil prices versus average online heating oil broker prices today is 2.49ppl inc vat.

Time is running out for Xmas heating oil deliveries.

Savings fluctuate and depend on your postcode and any other charges made by brokers.

For instance Boilerjuice™ charge an additional £3.49 and is applied to each order of heating oil or gas oil (red diesel) placed on their website or over the telephone.

Furthermore, they do not tell you their commission rate as it is calculated into the PPL. So always check your final total. There are many bargains out there, especially from suppliers. Remember, savings can change in an instant!

Today’s Broker Analysis

Average broker prices are down to 39.23ppl today. As you can see from the graph below, some brokers are much more expensive than others.

As can be seen, today there is a 7.06ppl difference separating the higher and lower priced brokers in our random postcode check.

Consequently, and fortunately for you, there are plenty of cheaper heating oil bargains from distributors around the country.

Price difference calculations are based on 1000 litres delivered in 5 days to the same randomly picked postcode.

Avoid Brokers

Buying heating oil is all about timing! You would be better off comparing prices from heating oil distributors in your area by using our site heatingoilshop.com.

Remember, prices and savings change regularly and are delivery postcode dependant.

Heating oil brokers charge a variety of commissions, surcharges & admin charges or a mixture of all and these affect your final bill.

Time is running out for Xmas heating oil deliveries.

The graph above shows you seven-day prices for brokers. Some of these quotes include delivery charges, commission and admin charges. All of which push up the PPL exclusive of VAT price.

Fortunately for heating oil consumers there are plenty of Autumn heating oil bargains around the country.

UK heating oil prices start to move up

Summary

Time is running out for Xmas heating oil deliveries. Heating oil delivery slots are filling up fast and prices now contain a delivery premium. We are encouraging all customers to get heating oil quotes & order ahead where possible. A combination of dropping temperatures, tiered lockdowns & festivities combined will result in longer delivery times & higher prices.

The coming week should see a steady rises in heating oil prices with possible price reductions in the New Year.

Things to do

For current price trends, head on over to our main website at heatingoilshop.com and get multiple heating oil quotes from suppliers to your area.

Always check our daily postings on Twitter @ukheatingoils and keep up with prices and events. You are most welcome and encouraged to follow us.

We would like to draw your attention to an initiative by UKIFDA to keep our elderly, especially those over 75 years, comfotable this winter. You can read all about it here.

Also check out our post on heating oil tanks and new legislation regarding heating oil boilers. Every heating oil user must be aware of the these changes in legislation and costs associated with heating oil spills and leakages.

There is also a very nice piece about whether or not the heating oil is the cheapest fuel. Click here.

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