Pesioners are set to lose upto £3500 if they apply for the new boiler scrappage scheme that has been launched in the UK this earlier this year. Most pensioners would be eligible for the Warm Front Grant which gives upto £3500 against the cost of purchasing and installing a new boiler. If pensioners or households with low incomes apply for the boiler scrappage scheme they forfeit their right to the Warm Front funding.

The funding can be used to pay for loft insulation, draft proofing and repairs to an existing heating system, aswell as a new boiler replacement. If you receive income support, council tax benefit, housing benefit or pension credit you are advised to apply.

Mervyn Kohler, fuel poverty expert at Help the Aged, said: "If you are a pensioner in receipt of benefits you are likely to be eligible for Warm Front, which can give you a whole new heating system and insulation. If you are not claiming means-tested benefits then we'd recommend you apply for the boiler scrappage scheme."