Free heating oil tool
Enter the litres you plan to order and the price per litre from your latest quote or invoice, and this calculator works out the total including 5% VAT, the cost per litre inclusive of VAT, and the cost per kWh of usable heat through a condensing boiler.
Say you enter 500 litres and a price of 68p per litre. The cost before VAT is 500 multiplied by 68p, divided by 100. Domestic heating oil is charged VAT at 5%, so the total is that figure multiplied by 1.05. The calculator above applies the same steps to whatever litres and price you enter.
To convert to usable heat, the price per litre including VAT is divided by the energy content of kerosene, 10.35 kWh per litre, and by boiler efficiency, 92% for a condensing boiler. That gives a cost per kWh of usable heat you can compare against other fuels.
Home heating oil is charged 5% VAT at any volume. Only non-domestic use above 2,300 litres in a single delivery moves to 20%. See the VAT threshold checker for the detail.
total_ex_vat = litres x ppl / 100 vat_rate = 0.05 (domestic home heating, any volume) total_inc_vat = total_ex_vat x (1 + vat_rate) cost_per_kwh = (ppl_inc_vat / 100) / (kwh_per_litre x boiler_efficiency) kwh_per_litre = 10.35 kWh/L boiler_efficiency = 0.92 (condensing, verified 2026-07-28)
| Figure | Value | Source | Verified |
|---|---|---|---|
| vat domestic | 0.05 ratio | VAT Act 1994 Schedule 7A Group 1, domestic fuel reduced rate | 2026-07-28 |
| vat standard | 0.2 ratio | VAT Act 1994, standard rate | 2026-07-28 |
| vat threshold litres | 2300 litres | HMRC VAT Notice 701/19, de minimis limit for domestic use presumption | 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 |
The price per litre. Heating oil tracks the international crude market with a lag of a few weeks. The pence per litre figure is the single biggest driver of your total, so enter the current price from your quote or invoice.
Order volume. Larger deliveries spread the fixed delivery cost across more litres, so the price per litre falls. This is why a 900 litre order usually beats three separate 300 litre top-ups on both price and hassle.
VAT rate. Domestic home heating is charged 5% at any volume, and deliveries of 2,300 litres or less are 5% automatically. Only non-domestic use pays the standard 20% rate on deliveries above 2,300 litres.
Which supplier you choose. On any given day, suppliers serving the same postcode can differ by several pence per litre. Comparing before you order is the most reliable way to pay the lower end of the range rather than the higher.
Compare quotes for a 500 litre delivery from local suppliers for your postcode.
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