Energy News

Boiler scrappage scheme closes but discounts still available

Monday, 29 March 2010

By Daniel Barnes- daniel@consumerchoices.co.uk

The government’s £400 boiler scrappage scheme is now run out of funds, but energy companies are now offering discounts.

The boiler scrappage scheme for England is now closed.

A total of 125,000 households have now applied for the £400 discounts on the price of a new boiler, after the £50m scheme was launched in January.

Energy minister Lord Hunt said: “The scheme’s been a great success and is already helping people cut down on their fuel bills. An ‘A-rated’ energy efficient boiler can help save around £200 a year off fuel bills and reduce emissions.

"The scheme has also provided a much needed boost to England’s plumbers and boiler manufacturers, helping to sustain work for the 130,000 installers and up to 25 UK-based boiler manufacturers throughout the economic recovery.”

However, households can still receive discounts for old boilers from energy firms.

During the scheme, British Gas, E.On, Npower and Scottish & Southern all offered to match the government discount and some of these firms are maintaining their £400 boiler discounts.

Scottish & Southern is keeping its £400 boiler scrappage discount and is also offering two years Shield Cover boiler insurance worth £396.

From April 1st, British Gas is offering a £200 boiler discount and one year’s free HomeCare 200 boiler insurance worth £204.

Customers who buy through British Gas before 30 May 2010 can also receive interest free credit for a year.

Npower’s scheme provides a £400 discount on boilers over 10 years old, compared the government scheme that offered discounts on inefficient G-rated boilers.

Npower chief executive Kevin Miles said: “The scrappage scheme has proven to be extremely popular.

“However, there are still approximately four million households with G-Rated boilers in the UK, which is why we are pledging to continue Npower’s boiler scrappage scheme.”

In Wales, the Welsh Assembly Government’s own boiler scrappage scheme will start running from 6 April with a £500 discount.

In Scotland, the Scottish Government has pledged £2m towards boiler scrappage schemes through its Energy Assistance Package scheme.