I have had to replace a couple of these due to this problem, though must have been larger than a pinhole as it was constant.
If the F&E (Feed & Expansion, 4 gallon small cistern) is higher it will exert more pressure on the CWSC (Cold Water Storage Cistern, 25 gallon large cistern).
The Feed & Expansion will constantly be trying to fill up as it will constantly empty into heating system, and will leak out of the heating pipes via the coil into the DHW, (Domestic Hot Water), inside your Hot Water Cylinder.
That will push against the water that should be coming down the feed pipe from the CWSC, but instead it goes up fills the tank and out the overflow.
It is possible the feed is connected near the cylinder, (but this can vary). So after a while it will be fairly clear looking water coming out as this will have more pressure behind it as it has come down from the loft; as opposed to radiators with inhibitor in on the same floor as the cylinder as they will be near equal pressure.
If hot water is going up as earlier described you will see it, as it will be shimmering as it comes out of pipe into CWSC.
So the water level in F&E will be to the feed pipe (about 2" in the bottom of cistern); and in the CWSC it will be to the overflow.
I have seen set ups like this.
But is more common to see both cisterns on the same level, e.g. a platform.
In which case the CWSC will be trying to re-fill, going into the coil in the cylinder, filling up the heating water, going up into the F&E, and out the overflow.
The water level in both cisterns will be to the overflow in the F&E.
A hot water cylinder is basically a big kettle.
Instead of electricity going into the coil in a kettle and heating the water (which must be kept seperate); in a cylinder you have heating system water going into the coil and heats the DHW (which must also be kept seperate).
I could give an idea of costs here, but as there are a number of factors to consider, IF IT IS THIS PROBLEM, I wouldn't want to mislead you.
Incidentally, I spoke to a cylinder manufacturer last year and they said they only guarantee their copper cylinders for 2 years, this one had lasted for ten.