HM Revenue & Customs is warning certain pensioners to repay the Winter Fuel Payment. The tax collector urged anyone who received the annual perk and with a yearly income of more than £35,000 to take steps to make their repayment arrangements.
HMRC asked on social media: "Did you receive a Winter Fuel Payment, or Pension Age Winter Heating Payment, last winter? If your income in 2025/26 was over £35,000, you'll need to repay it."
How repayment works
It reminded PAYE pensioners that the payment is already being taken via their tax code, so those in this group do not need to do anything if they pay tax through Pay As You Earn, for example on a private pension. However, HMRC added that those paying tax via Self Assessment will need to include it in their tax return for 2025/26.
Most people who are eligible receive the Winter Fuel Payment automatically each year. Those entitled to the £100 to £300 help towards paying their heating bills are usually told in October or November how much they will get. Most payments are made in November or December.
Income threshold and partner income
But HMRC claws the money back if an individual's income is over £35,000. If the person has a partner, then the partner's income does not count towards the £35,000 plus threshold.
In cases where a person who breaches the limit receives the payment but subsequently dies, the money is usually paid back when the deceased's estate is settled.
Opting out and future payments
Pensioners who want to opt out of the 2027-28 payment can do so from December 21. Anyone with a total income of £35,000 or more who does not opt out will receive the payment before HMRC takes it back. It is possible to opt into the scheme again.
To receive a payment for winter 2026-27, contact the Winter Fuel Payment Centre before March 31. This can be reached via a helpline on 0800 731 0160 or at this address: Winter Fuel Payment Centre, Mail Handling Site A, Wolverhampton, WV98 1LR. The Pension Age Winter Heating Payment operates in Scotland.
