The Scrappage Scheme and Central Heating

In his pre-budget report, the Chancellor of the Exchequer has announced a large number of minor reforms that are aimed at rescuing the treasury, helping economic recovery and doing a bit for climate change. These include a 0.5% increase in National Insurance, rises in benefits and a one-off tax on bankers’ bonuses. However, for the plumbing industry, the most interesting announcement was that of a new Boiler Cv storing Scrappage Scheme. Central heating suppliers are currently in talks with the government and other interested parties to bash out the final programme and as such the number of details about how the plan will run is limited.

However from what we do know, will the Scrappage scheme be a success?

The plumbing industry has estimated that there are approximately four million boilers working in the UK which fit into the government’s category as an old, gas-working, non-green boiler and as such could be scrapped as part of the new scheme. These boilers emit almost a tonne more carbon than their greener counterparts and cost the average household an extra £200 pounds each year in terms of bills. This is because their technology is no longer modern and wastes a high amount of energy.

So by scrapping in the gas guzzler you could lower both your carbon emissions and your yearly bills.
However, this might just be too good to be true.

The plans which the government has put forward make allowances for 125,000 boilers to be scrapped and replaced with more energy efficient models. This leaves almost three million boilers still running and emitting high levels of toxic carbon. Officials from the plumbing industry have called for more funds to be set aside so that a higher number of households will be able to change their central heating system under the scheme.

Some people have also criticised the government for introducing a minimum spend before the grants can be given out. A family must be spending approximately  on their new central heating system before they are eligible to receive the £400 grant towards the costs. Whilst this is undoubtedly a large amount, some have argued that there should not be a minimum spend before it is granted as this will put off those households on a lower income.

The full details of the scheme remain to be seen and as such we should wait and see just how beneficial this plan will be to the majority of households still using an old gas boiler. However, many sides of the argument seem to think that more widespread plans should be announced.



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