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Your combination storage vessel is fine and should last for years more with possibly the odd bit of maintenance, it looks huge (compared to a traditional HW cylinder) because it also includes the cold water storage vessel. Without it you'd have a hot water storage cylinder + a cold water storage tank in that cupboard or as mentioned you could now opt for a smaller unvented cylinder. You can never have enough insulation imo and the only other change to make are the controls which could do with updating to take advantage of any overnight E7 tariff you may wish to join.
Thanks for your reply. My storage vessel my be close to 28yrs old I think, which is why I'm comsidecons something new. I've heard about over night tarrifs/eco 7 but I don't think that's really going to work for my life style. So I think I will opt for newer electric heaters and see if there is a smaller more modern economical option for my hot water storage...as you mentioned, an unvented cylinder.
I've now switched the immersion on the main vessel of tank off and have just left the smaller 'boost' cylinder on. Hopefully this saves me a bit of money, because I really don't need a huge tank of water at all. Guess we shall see of that makes a difference.