9 million pensioners to receive Winter Fuel Payments this winter – here’s who qualifies
9 million pensioners will receive Winter Fuel Payments this winter, Treasury confirmed on Monday, 9 June.
The measure will apply to all pensioners in England and Wales with an income of, or below, £35,000 a year.
This extends eligibility to the vast majority of pensioners, with around nine million, or over three quarters, benefitting.
This threshold is well above the income level of pensioners in poverty and is broadly in line with average earnings, balancing support for lower income pensioners with fairness to the taxpayer, Treasury said.
This change will cost around £1.25 billion in England and Wales and see means-testing of the Winter Fuel Payment save around £450 million, subject to certification by the Office for Budget Responsibility (OBR) compared to the system of universal Winter Fuel Payments.
The costs will be accounted for at the Budget and incorporated into the next OBR forecast. The Chancellor will take decisions on funding in the round at that forecast to ensure the government’s non-negotiable fiscal rules are met. This will not lead to permanent additional borrowing.
No pensioner will need to take any action as they will automatically receive the payment this winter, and for those with incomes above the threshold, it will be automatically recovered via HMRC.
The payment of £200 per household, or £300 per household where there is someone over 80, will be made automatically this winter. Over 12 million pensioners across the United Kingdom will also benefit from the Triple Lock, with their State Pension set to increase by up to £1,900 this parliament.
“Targeting Winter Fuel Payments was a tough decision, but the right decision because of the inheritance we had been left by the previous government. It is also right that we continue to means-test this payment so that it is targeted and fair, rather than restoring eligibility to everyone including the wealthiest,” said Chancellor Rachel Reeves.
“But we have now acted to expand the eligibility of the Winter Fuel Payment so no pensioner on a lower income will miss out. This will mean over three quarters of pensioners receiving the payment in England and Wales later this winter.”
Pensioners above the £35,000 threshold will have the full amount of the Winter Fuel Payment they received automatically collected via PAYE, or via their Self-Assessment return. No one will need to register with HMRC for this or take any further action. Pensioners who want to opt out and not receive the payment at all, will be able to do so, with details to be confirmed.
Eligibility requirements
- Eligibility is based on a person’s age and place of residence during the qualifying week (the third full week of September). For winter 2025/26, the qualifying week will be 15 to 21 September 2025.
- A person needs to have reached State Pension age by the end of the qualifying week to be eligible.
- Winter Fuel Payments are worth £200 per household, or £300 per household where there is someone over 80. Shared payments are made to pensioners not on an income-related benefit.
- The payment will be recovered from individuals via HMRC based on their individual taxable incomes. There will be no need for household incomes to be aggregated.
- It will be recovered via PAYE for the vast majority, or in their Self-Assessment tax return for the minority who file and pay their taxes in this way. HMRC will work closely with representative bodies to ensure the process is as simple as possible with clear guidance for taxpayers.
- For those who would like to opt out from receiving the Winter Fuel Payment, DWP will develop a simple system to enable individuals to do so, removing the need for HMRC to recover the payment. Further information will be on GOV.UK in due course.
- The government will be publishing an equalities analysis alongside the legislation and a Tax Information and Impact Note at Budget.
