Saturday 27 February 2010

Energy giants accused of cashing in on boiler scrappage scheme

Some energy companies are ripping off householders using the Government’s boiler scrappage scheme by quoting inflated prices for a new boiler, according to industry experts.

The warning comes as a leading heating engineer says that paying £2,000 to replace a working boiler is “financial madness” and that the scrappage scheme has serious flaws.

The boiler scrappage scheme, launched last month, gives households £400 to replace old boilers with a new, energy-efficient model. British Gas, E.On, nPower and Scottish and Southern have matched the Government scheme by offering an additional £400 discount. But some householders hoping to claim £800 off the cost of a new boiler have complained that British Gas is quoting far higher figures than independent engineers.

Peter Thom, of Green Heat, the heating engineer, says: “The energy suppliers are top-loading the price and then offering an £800 discount. A customer I saw in Cambridge received a quote from British Gas of £5,012 for a boiler replacement, which reduced to £4,212 with the £800 discount. Our quotation for exactly the same work and identical boiler was £2,894.”

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