smoke from steering column

Hi, not sure where to post this but need help. Driving my 197 this morning grey smoke started coming from behind steering column ! Had all the plastics off and doesn't seem to be any damage, everythings working lights, indicators and horn. The only thing that isn't lit up & doesn't seem to be working is the heater ???
 
Yes it as a burning smell but cant see any damage apart from the heater isnt working, scared to drive it now !
 
by heater not working you mean there is no airflow from the vents, right? that would back up my theory of a stuck heater motor, but might also be "just" a blow fuse that got hot and melted some plastic. check the fuse-box underneath the steering rack
 
changed the indicator stalk, that was were the burning smell was coming from but still haven't sorted the heater problem