Energy Rights
LPG price hike mid-contract: your legal rights
Around 1.7 million UK households heat their homes using liquefied petroleum gas (LPG). Unlike mains gas and electricity, LPG falls outside the Ofgem price cap. Here is what suppliers can legally do, and where your protections actually come from.
TL;DR
LPG is not regulated by Ofgem. Suppliers can vary prices mid-contract if their terms permit it. The Consumer Rights Act 2015 and the CMA's consumer protection powers are the primary legal checks. Disputes go to Citizens Advice, not the Energy Ombudsman.
Last reviewed: 22 June 2026
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Key Facts
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Why LPG sits outside the normal energy framework
The Ofgem energy price cap applies to households supplied via the mains gas and electricity grid on standard variable tariffs. LPG is a bulk-delivered liquid fuel stored in tanks, usually on private land. It operates under commercial contract law rather than energy supply licensing, and Ofgem has no jurisdiction over it.
This creates a significant protection gap. The approximately 1.7 million UK households relying on LPG, particularly in rural areas without access to the gas grid, cannot access the price cap protections that mains gas customers take for granted.
What the law actually says about mid-contract price changes
The key statute is the Consumer Rights Act 2015 (CRA 2015). Under Part 2 of the Act, a contract term is unfair, and therefore unenforceable against a consumer, if it causes a significant imbalance in the parties' rights and obligations to the detriment of the consumer.
A term allowing a supplier to raise prices to any level at any time without notice would almost certainly fall foul of Schedule 2 of the CRA 2015, which gives examples of terms that may be unfair. However, a term permitting price variation within defined limits, with adequate notice, and tied to verifiable wholesale cost movements, is more likely to be upheld.
The critical question when facing a mid-contract price hike is: what does your contract actually say? Specifically:
- Is there a price variation clause, and if so, what triggers it?
- Does the clause define a maximum permitted increase?
- How much notice must the supplier give?
- Does the clause link increases to a published index or wholesale price benchmark?
If the supplier has breached its own contract terms, the CRA 2015 provides a remedy. If the supplier has followed its terms but those terms are arguably unfair, the matter moves to the Competition and Markets Authority (CMA).
The regulator: CMA, not Ofgem
The CMA exercises consumer protection and competition oversight in the off-grid fuel market. It does not set prices, but it can investigate and act where it finds evidence of unfair commercial practices or breaches of consumer law.
The CMA has previously conducted market studies into off-grid energy. Consumers wishing to raise systemic concerns, rather than individual disputes, can contact the CMA via gov.uk.
What to do if your supplier raises prices mid-contract
Step 1: Read your contract. Locate the price variation clause. Check whether the increase complies with the stated limits, notice period, and trigger conditions. Step 2: Write to your supplier. Set out in writing the specific clause you believe has been breached or the specific term you consider unfair under the Consumer Rights Act 2015. Request a written response within 14 days. Step 3: Contact Citizens Advice. If the supplier does not resolve the complaint, contact Citizens Advice (citizensadvice.org.uk or 0808 223 1133). Citizens Advice can provide guidance on your options and refer the matter to trading standards where appropriate. Note: the Energy Ombudsman (which handles mains gas and electricity complaints) does not accept LPG disputes. Step 4: Raise a complaint with trading standards. Citizens Advice can refer consumer law breaches to the relevant local trading standards authority. Step 5: Consider switching supplier. Check your contract for early exit provisions. Some LPG contracts impose tank removal fees or early exit charges. These should also be scrutinised under the CRA 2015 unfair terms provisions if they appear disproportionate.Tank ownership and switching barriers
One of the most significant practical constraints for LPG customers is tank ownership. In many cases the tank is owned by the supplier, not the household. This can create lock-in even where a customer has legal grounds to exit.
If a supplier owns the tank on your property, check your contract for:
- The notice period required to switch suppliers
- Any tank removal or rental arrears charges
- Whether the contract restricts you from filling the tank from a third party
The CRA 2015 Schedule 2 includes terms that impose disproportionate non-monetary consequences for contract breach among its indicative list of potentially unfair terms.
Government support for LPG households
In England, some households using LPG may qualify for local council support under the Household Support Fund. Eligibility varies by council. The Boiler Upgrade Scheme (BUS) grant, administered by Ofgem on behalf of the Department for Energy Security and Net Zero (DESNZ), provides grants toward replacing oil or LPG boilers with heat pumps. The BUS grant for air source heat pumps is currently £7,500. See gov.uk/apply-boiler-upgrade-scheme for eligibility.
In Wales, low-income households on the Council Tax Reduction Scheme using LPG may qualify for a one-off payment from the local council. Schemes run to 30 September 2026.
Disclaimer: This guide provides general information about UK consumer law as it applies to LPG supply contracts. It does not constitute legal advice. Individual circumstances vary. If you are in dispute with an LPG supplier, contact Citizens Advice for guidance specific to your situation.
Frequently asked questions
Is LPG covered by the energy price cap?
No. The Ofgem energy price cap applies only to households on mains gas and electricity standard variable tariffs. LPG is an off-grid fuel and is not covered by the cap. Prices are set by commercial contract between the supplier and the customer.
Can my LPG supplier raise prices during a fixed contract?
It depends entirely on your contract terms. If your contract contains a price variation clause that permits increases under specified conditions, the supplier may be able to raise prices. If the increase exceeds the limits set out in the clause, or if the clause itself is unfair under the Consumer Rights Act 2015, you may have grounds to challenge it.
Who regulates LPG suppliers?
LPG suppliers are not regulated by Ofgem. Consumer protection and competition law in the LPG sector falls under the remit of the Competition and Markets Authority (CMA). General consumer law, including the Consumer Rights Act 2015, applies.
Can I complain to the Energy Ombudsman about my LPG supplier?
No. The Energy Ombudsman handles disputes relating to mains gas and electricity supply under Ofgem-licensed contracts. It does not have jurisdiction over LPG supply disputes. Citizens Advice is the appropriate first point of contact for LPG complaints.
What is the Boiler Upgrade Scheme and does it apply to LPG users?
The Boiler Upgrade Scheme (BUS), administered by Ofgem on behalf of DESNZ, provides grants to replace oil and LPG boilers with heat pumps. As of June 2026, the grant for an air source heat pump is £7,500. See gov.uk/apply-boiler-upgrade-scheme for eligibility criteria.
Sources:
- Ofgem - Understand your energy costs if you are not protected by the energy price cap (ofgem.gov.uk)
- Consumer Rights Act 2015 - Part 2 and Schedule 2 (legislation.gov.uk)
- Competition and Markets Authority - contact-the-cma (gov.uk)
- Department for Energy Security and Net Zero - Boiler Upgrade Scheme (gov.uk)
- Citizens Advice - citizensadvice.org.uk
