its a condensate pipe and not an overflow its very important. you can run it into a mains drain or you can buy a small soakaway that you fill with limestone chippings. you must not let it drain to the ground.
your most important consideration must be frost protection so run it outside in 40mm pipe and protect it from freezing or your boiler will fail at the coldest time of the year. hope that helps
Brian Emian Plumbing & Heating norfolk, April 2011