OFT takes action against heating oil companies and price comparison websites
The Office of Fair Trade (OFT) has taken action to prevent consumers being misled when searching online for heating oil supplies.
The OFT found that some websites offering to find consumers the best price for heating oil were not clear about whether they were price comparison sites or sites for ordering heating oil directly from a single supplier.
The OFT has secured undertakings under the Consumer Protection from Unfair Trading Regulations (CPRs) from WCF Fuels Limited and Boiler Juice Limited which prevent them from engaging in business practices that could be misleading.
An OFT investigation found that the website fuelfighter claimed to make price comparisons, but only quoted prices from its own products and used false customer testimonials. Boilerjuice, although a genuine price comparison site, was not transparent about its link to its owners DCC, the largest heating distributor in the UK.
The businesses investigated have co-operated with the OFT's investigations and voluntarily made changes to their websites.
The investigation was carried out in connection with an OFT market study into the supply of energy to the four million households who are not connected to the mains gas grid. The outcome of this study will be published in October 2011.
“Our investigation has aimed to ensure that any relationships between businesses supplying heating oil and websites are transparent and that the number of prices that have been compared by the website is stated prominently,” said Clive Maxwell, executive director at the OFT.
"It is important that people can genuinely shop around and make informed decisions about which suppliers to use. The changes that we have secured mean that people buying domestic heating oil will be better able to compare deals on offer."