HMRC is preparing to send notifications to millions of retirees who are required to reimburse their Winter Fuel Payment. This payment, valued at up to £300, is provided by the Department for Work and Pensions (DWP) to individuals above the state pension age. However, if your annual income exceeds £35,000, HMRC will reclaim the payment. The repayment process will involve adjusting tax codes for the 2026/27 fiscal year.
Approximately two million state pensioners will need to refund their Winter Fuel Payment for the 2025/26 winter season, with letters from HMRC expected to be dispatched starting in April. If your tax code changes and you have opted out of paper correspondence from HMRC, you will receive digital notifications regarding the adjustments.
HMRC emphasized that most individuals subject to repayment will have it automatically deducted through their tax code. For those registered for Self Assessment, the repayment will be processed through their tax return. Online resources have been provided to explain the repayment process, along with a calculator to help individuals determine if they are liable to repay the payment.
Winter Fuel Payments are disbursed to individuals born before September 22, 1959, who claimed specific benefits during the qualifying week of September 15 to 21, 2025. Eligible recipients who have not received their payment and believe they qualify can make a claim to the Winter Fuel Payment Centre by March 31, 2026.
In Scotland, the Winter Fuel Payment has been substituted with the Pension Age Winter Heating Payment, ranging from £101.70 to £305.10. Eligibility exclusions apply for individuals receiving free hospital treatment, incarcerated during the qualifying week, or residing in care homes while claiming certain benefits.
To inquire or claim, individuals can contact the Winter Fuel Payment Centre at 0800 731 0160 or send correspondence to the designated address. It is crucial to note that eligibility criteria are specific and may vary based on individual circumstances.