Energy costs for households and motorists in Northern Ireland have increased sharply, driven by rising global oil prices linked to conflict in the Middle East.

Data from the Consumer Council shows the average price of 500 litres of home heating oil was £542 on Monday, up almost 10% from £495 a week earlier. The current price is roughly double what it was in early September 2025, when the same quantity cost £270. It remains below the peak of almost £630 seen in early April.

Around two thirds of Northern Ireland households rely on home heating oil, and the market is unregulated, meaning global price changes are passed through to consumers more quickly than for gas or electricity.

The price of Brent crude oil started the week at $108 a barrel, a four-month high. Prices have risen after a drone strike damaged a Saudi Arabian pipeline carrying oil to Red Sea ports, forcing its closure for repairs. This follows earlier disruption when Iran closed the Strait of Hormuz.

Petrol and diesel prices have also increased. Last week, diesel averaged £1.77 per litre, 10 pence higher than during the summer. Unleaded petrol averaged £1.57 per litre, the highest since the conflict began and back to a level last seen in 2022 after Russia's invasion of Ukraine.

The wholesale price of natural gas in the UK has returned to a level last seen in winter 2022. If sustained, gas suppliers in Northern Ireland may need to impose further price increases beyond those announced in recent weeks. Gas is also the main fuel for electricity generation across the island of Ireland, and electricity supplier Share Energy said its prices would rise by almost 13% in October.

Damian Wilson, chief executive of Share Energy, said the Irish markets are at the mercy of geopolitical shocks. He noted that the island is heavily reliant on gas for power generation and lacks storage facilities. Before the war in Ukraine, gas traded at around 20 to 30 pence per therm; it is now at 190 pence.

The Northern Ireland Executive has opened a scheme to give lower income households a £100 oil voucher, but some have described the £17 million support package as insufficient.