Thousands of pensioners will begin seeing repayments for the Winter Fuel Payment this month, with some facing a deduction of up to £300.
HM Revenue and Customs has confirmed that anyone with an income exceeding £35,000 will have their winter 2025 payment reclaimed, affecting nearly two million people across the UK.
For many, the repayment will be taken back automatically through the tax system, meaning pensioners could experience a reduction in their monthly income without needing to take any action.
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Those on PAYE are expected to repay the amount through changes to their tax code starting from April 2026, while others will see it included in their Self Assessment returns.
A typical £200 payment will be recovered gradually, averaging around £17 per month, but those who received up to £300 could see a more noticeable drop in their income over the year.
HMRC has stressed that most people do not need to take any action to trigger repayment.
Myrtle Lloyd, chief customer officer at HMRC, mentioned: “Criminals are great pretenders and often use fake letters, emails, calls, and texts to impersonate HMRC and trick people into giving them money.”
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“I’d encourage anyone who’s unsure to use our online tool at GOV.UK to check whether and how their payment will be recovered – there’s no need to call us.”
She added that the process is straightforward for most people, with repayments handled automatically through the system.
The rules apply nationwide, including in Scotland, where the benefit is known as the Pension Age Winter Heating Payment, and in Northern Ireland, with all repayments managed by HMRC.
