The entertainer appeared in several children's programmes in the 1980s and early 1990s, including the Rod Hull hit Emu's World.
Scott's death was announced by relatives on social media, leading to an outpouring of nostalgic tributes by fans.
Among those remembering the performer was comedian Rufus Hound, who said she was "an icon for folk of my generation".
Many warmly remembered Scott's Grotbags character, with one fan tweeting: "Rest in peace #grotbags, another part of my childhood heaven bound".
The Somerset-born actress's early career saw stints as a cabaret performer touring clubs in the north of England, a London pub singer and as a Pontins Blue Coat.
She spent 19 years working for the holiday park company before collaborating with Hull on a series of programmes in the 1980s.
The pair created Grotbags while performing a summer season in Cleethorpes, with the character first appearing in Emu's World in the 1980s before going it alone.
Also starring puppeteer Richard Coombs, Grotbags ran on ITV for three series between 1991 and 1993, with each episode following the antics of the green witch and her minions at her Gloomy Fortress.
Scott and Hull remained friends until his death in 1999.
Her niece Gina Mear wrote on Facebook on Wednesday: "My dear aunty Carol lost her brave fight against cancer yesterday. To many of you she was Grotbags - a legend! To me she was just aunty Carol. I shall miss her hugely, rest in peace Carol xxx."