Vouchers worth £400 that go towards the cost of a new energy-efficient boiler under the scrappage scheme will be issued on January 18.
By Richard Evans Published: 6:11AM GMT 05 Jan 2010
The Government announched the scrappage scheme which encourages people to ditch their for old boiler for a new one in the pre-Budget report. It hopes the scheme will help cut CO2 emmissons - domestic heating accounts for 14 per cent of the UK's CO2 emissions.
New boilers have rated efficiencies of 90 per cent or more meaning that they use less fuel, resulting in lower CO2 emissions and running costs. Renewable heat technologies do not use fossil fuels, reducing CO2 emissions still further.
By upgrading your G-rated boiler to an A-rated one, your household heating bill should drop by about a quarter - a saving, on average, of around £235 a year.
People who apply to the scheme will receive their voucher on or after January 18.
The Energy Saving Trust says that a good quick test for gas boilers is to see if it has a permanent pilot light -if it has then it is very likely to be a G-rated boiler. If it is gas fired and over fifteen years old it is likely to be eligible. If it is oil fired and over twenty five years old, it is likely to be eligible.
For a better idea, see if your boiler make and model is listed as G-rated or worse by clicking here .
The £50m scheme, which will benefit only people living in England, is likely to be funded entirely by the taxpayer.
Will Marples, an energy expert at uSwitch.com, the price comparison service, said: "Heating and hot water account for £756 a year on average so it makes absolute sense to focus energy efficiency efforts here, where people have the most to gain. Installing a modern efficient boiler can save up to £235 a year on heating bills.
"However, for many families and households the cost of buying one and having it installed is prohibitive. Hopefully this new scrappage scheme will put it within reach of more people."