The latest quarterly data from the Sutherland Tables has revealed that oil is the only primary heating fuel that has come down in price over the past three years.
The data from Sutherland Tables reported that the current annual cost of using oil to heat a three-bedroom home is now 5 per cent lower than the average cost reported over the last three years, whereas the same average figures for homes using gas and electricity show an increase in heating costs of 14 per cent and 16.5 per cent respectively.
The data showed that the price difference between gas (by far the most widely used fuel) and oil (used an estimated one million off-grid households) has narrowed significantly.
Three years ago oil was nearly 60 per cent more expensive than mains gas but now it is just over 12 per cent more expensive, based on using a condensing boiler, according to Sutherland Tables.
The figures showed that LPG, used by some 170,000 off-grid households, remains the most expensive fuel, costing a three bedroom home with a condensing boiler £1,923 per annum compared to oil at £1,275 and gas at £1,136.
OFTEC director general Jeremy Hawksley said: “This is very welcome news for the estimated one million households that use oil to heat their homes which, as the data shows, have benefited from relatively consistent heating costs over the past three years and are currently experiencing a small decrease in prices.
“With the global oil markets stabilising and the supply of oil improving, we expect prices between heating oil and gas to continue to narrow – however, only time will tell on this.”