The lack of cheap energy rates available from energy suppliers is to be tackled using a boiler scrappage scheme, the chancellor, Alistair Darling, has announced in his pre-Budget report.
Homeowners are to be offered a cash incentive of £400 to scrap old boilers and replace them with more efficient newer models, which could contribute to both lower household bills and reduced carbon emissions.
Mr Darling told parliament that a tonne of carbon dioxide is generated by each inefficient domestic boiler, while they also add £200 to household utility bills.
The chancellor said: "As well as investing in clean and low-carbon technologies, we must become more energy-efficient, to cut emissions as well as household bills."
He added that as many as 125,000 homes around the UK will be eligible for the scheme, which may have been modelled on the hugely successful car scrappage scheme that was introduced earlier this year.
Homeowners could also consider replacing their white goods with newer models to pursue greater energy efficiency.
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