Do You Need a Bunded Oil Tank in the UK?

If you’re installing a new oil tank or reviewing an existing one, it’s essential to understand whether a bunded oil tank is required. In the UK, this isn’t just a technical detail — it affects legal compliance, environmental safety, and your long-term costs if something goes wrong.

Bunded oil tanks are increasingly recommended, and in many situations legally required, because they significantly reduce the risk of oil leaks contaminating land or water. In this guide, we’ll explain when bunding is mandatory, when it’s strongly advised, and how to decide what’s right for your property.

What Is a Bunded Oil Tank?

A bunded oil tank is designed with two layers of protection. Inside, there’s a primary tank that stores the oil. Around it sits a secondary outer layer known as the bund, which acts as a containment barrier if the inner tank leaks or fails.

This design dramatically reduces the risk of environmental damage and costly clean-ups. If you want a deeper technical breakdown of how bunded tanks work and when they’re required, this guide explains it clearly:
https://www.jamesdbilsland.com/blog/does-my-oil-tank-need-to-be-bunded

UK Regulations: When Is a Bunded Oil Tank Required?

UK oil storage rules are designed to protect water supplies, land, and neighbouring properties. While not every domestic oil tank must be bunded, there are clear scenarios where bunding is mandatory.

Oil Tanks Near Water Sources

If your oil tank is located near a watercourse, such as a river, stream, ditch, or drainage system, bunding is required. Even small leaks can cause serious environmental damage, which is why these installations are tightly regulated.

The UK government regularly highlights the risks of oil tank failures and the importance of checking your setup:
https://www.gov.uk/government/news/check-your-heating-oil-tank

Tank Capacity Over 2,500 Litres

Any oil tank with a capacity exceeding 2,500 litres must be bunded. This rule applies to both domestic and commercial installations and reflects the increased risk associated with larger fuel volumes.

Commercial and Non-Domestic Installations

Most commercial oil tanks are legally required to be bunded. This includes tanks used at farms, schools, workshops, and industrial premises, where oil usage is higher and spill risks are greater.

When Bunded Oil Tanks Are Strongly Recommended

Even when bunding isn’t strictly required by law, it’s often the smarter choice.

A bunded oil tank provides:

• Better protection against leaks and corrosion

• Reduced risk of environmental contamination

• Greater peace of mind for property owners

Many insurers also view bunded tanks more favourably, particularly for rural properties, which can help avoid disputes or exclusions if a spill occurs.

Assessing Your Oil Tank Installation

Before deciding, it’s important to consider your specific circumstances. Key factors include the tank’s location, its capacity, proximity to drains or water, and whether the installation is domestic or commercial.

Professional assessment makes a real difference here. Oil Tanks Plus provides expert guidance and compliant oil tank installation services, ensuring your tank meets current standards from day one:
https://www.oiltanksplus.co.uk/oil-tank-installation/

Choosing the Right Bunded Oil Tank

If bunding is required — or simply the safest option — selecting the right tank matters. Modern bunded oil tanks come in a range of sizes and designs to suit different spaces, including properties with limited access or tight boundaries.

You can explore the full bunded oil tank range available from Oil Tanks Plus, covering domestic and commercial needs:
https://www.oiltanksplus.co.uk/oil-tank-range/bunded-oil-tanks/

Final Thoughts

Understanding whether you need a bunded oil tank isn’t just about ticking a regulatory box. It’s about protecting your property, avoiding environmental damage, and reducing the risk of expensive problems in the future.

In many cases, bunded tanks are legally required. In others, they’re simply the most responsible and future-proof choice. If you’re unsure what applies to your property, getting expert advice early can save time, money, and stress.

If you’re planning an installation or upgrading an existing tank, Oil Tanks Plus can help you choose a compliant, reliable solution tailored to your needs.

Are you thinking about having an oil tank installation? Get in touch with us today!