Free heating oil tool · Updated 5 August 2026
A typical oil-heated home using about 1,700 litres a year spends roughly £1,651.13 at today's UK average of 92.5p per litre, surveyed on 5 August 2026. That averages £137.59 a month, but closer to £275.19 in each winter month when most of the oil is burned.
Take a household burning 1,700 litres a year, a common figure for a three or four bedroom rural home. On 5 August 2026 the UK average was 92.5p per litre. The annual fuel cost is 1,700 multiplied by 92.5p, divided by 100, then multiplied by 1.05 for VAT, which comes to £1,651.13.
Averaged evenly that is £137.59 a month, but heating is not spread evenly. Using an illustrative model where about 50% of oil is burned across the three winter months, each winter month costs closer to £275.19. Through a 92% condensing boiler the delivered heat costs about 10.2p per kWh. If prices returned to the April 2026 peak of 108.2p, that same year would cost £1,931.37. Past moves are not a forecast.
At today's average of 92.5p per litre inc 5% VAT. Winter month uses an illustrative 50% winter share.
| Litres per year | Cost per year | Per winter month | At April 2026 peak (108.2p) |
|---|---|---|---|
| 1,000L | £971.25 | £161.88 | £1,136.10 |
| 1,500L | £1,456.88 | £242.81 | £1,704.15 |
| 1,700L | £1,651.13 | £275.19 | £1,931.37 |
| 2,000L | £1,942.50 | £323.75 | £2,272.20 |
| 2,500L | £2,428.13 | £404.69 | £2,840.25 |
| 3,000L | £2,913.75 | £485.63 | £3,408.30 |
annual_cost = annual_litres x ppl / 100 x (1 + vat_domestic) per_month = annual_cost / 12 winter_month = annual_cost x seasonal_share.winter / 3 cost_per_kwh = (ppl_inc_vat / 100) / (kwh_per_litre x boiler_efficiency) vat_domestic = 0.05 seasonal_share.winter= 0.5 (illustrative model, see sources) kwh_per_litre = 10.35 kWh/L boiler_efficiency = 0.92 condensing / 0.78 older Worked (1700 L at 92.5p, 5 August 2026): annual_cost = 1700 x 92.5 / 100 x 1.05 = £1,651.13 winter_month = £1,651.13 x 0.5 / 3 = £275.19
| Figure | Value | Source | Verified |
|---|---|---|---|
| vat domestic | 0.05 ratio | VAT Act 1994 Schedule 7A Group 1, domestic fuel reduced rate | 2026-07-28 |
| kerosene kwh per litre | 10.35 kWh/L | UK Government GHG conversion factors 2025, burning oil (net CV) | 2026-07-28 |
| boiler efficiency condensing | 0.92 ratio | SEDBUK band A typical seasonal efficiency, OFTEC technical guidance | 2026-07-28 |
| boiler efficiency noncondensing | 0.78 ratio | SEDBUK band D-E typical seasonal efficiency for pre-2005 pressure jet boilers | 2026-07-28 |
| seasonal share | see page | Illustrative seasonal model. No authoritative UK source publishes a domestic kerosene seasonal split; this model is stated as illustrative on every page that uses it. | 2026-07-28 |
| price peak 2026 ppl | 108.2 p/L | Compare My Heating Oil price history, UK average 500 litre price at the April 2026 peak | 2026-07-28 |
How much oil you actually burn. Floor area, insulation, thermostat setting and how many people are home all move your annual litres. This tool takes your usage as the input, so the accuracy of the result depends on knowing roughly how much you buy in a year.
The price you pay. The pence per litre figure is the biggest lever. At 92.5p today, a swing of 10p per litre changes a 1,700 litre year by roughly £178.50.
The seasonal split is illustrative. No authoritative UK source publishes a domestic kerosene seasonal breakdown, so the winter figure uses a model we state openly. Your own split depends on your climate and habits.
Boiler condition. A well serviced condensing boiler wastes less heat than a neglected older one. Efficiency does not change the fuel price, but it changes how many litres you need for the same warmth, and therefore your annual bill.
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