Pensioners above the earnings threshold face having their Winter Fuel Payment clawed back by HMRC, but can opt out of receiving the cash to avoid extra admin. The Winter Fuel Payment is worth up to £300 and is paid by the Department for Work and Pensions (DWP) to people over state pension age. If you earn over £35,000 a year, the money has to be paid back, normally through an adjustment to your tax code or, for those filing self-assessment, as part of a tax return.
Opt-out deadlines and how to apply
Pensioners can choose to opt out of getting the Winter Fuel Payment altogether. The deadline to do this by phone is September 18. The number for the Winter Fuel Payment Centre is 0800 731 0160. Alternatively, the deadline for filling out a form online on GOV.UK is September 20.
You will need to provide your National Insurance number when using the online form or calling the helpline. Once you have opted out, this will stay in effect for following years, so you only have to do it once unless you later decide to opt in again.
Who receives and who misses out
Approximately two million state pensioners are above the earnings threshold to receive the Winter Fuel Payment and will therefore have the money clawed back by HMRC. Winter Fuel Payments are being paid to people who were born on or before June 28, 1960 and who usually live in England, Wales or Northern Ireland.
The payment is normally issued automatically in November or December if you claim one of the following benefits: State Pension, Pension Credit, Universal Credit, Attendance Allowance, Personal Independence Payment (PIP), Carer's Allowance, Disability Living Allowance (DLA), income-related Employment and Support Allowance (ESA), awards from the War Pensions Scheme, Industrial Injuries Disablement Benefit, Incapacity Benefit, or Industrial Death Benefit.
Exclusions and Scotland's replacement payment
You won't be eligible if you were in hospital getting free treatment for the whole of the week of September 21 to 27, 2026 and the year before that. You also will not get the payment if you need permission to enter the UK and your granted leave says that you cannot claim public funds, or if you were in prison for the whole of the week of September 21 to 27, 2026.
In Scotland, the Winter Fuel Payment has been replaced with a new Pension Age Winter Heating Payment, worth between £101.70 and £305.10.
