Winter Fuel Payment Repayment: Who Needs to Pay Back £300 in April

If you're a state pensioner, you may be about to receive an unexpected letter from HMRC asking you to repay part of your Winter Fuel Payment. Here's what you need to know – and what to do about it.

## Who is affected?

You may need to repay the Winter Fuel Payment if:

- You were born before 22 September 1959 (21 September in Scotland)

- Your personal taxable income for 2025–2026 exceeds £35,000

The payment itself – issued in November and December 2025 – ranged from £100 to £300, depending on your age and household circumstances.

## Why is this happening?

The system works backwards. HMRC has to pay the Winter Fuel Payment before the tax year ends, so it pays everyone who looks eligible at that time. Once the tax year finishes in April, HMRC can finally see exactly how much you earned. If you've gone over the £35,000 threshold, you'll be asked to repay it.

It's not a fine or penalty – it's simply money that shouldn't have been paid in the first place.

## How will you repay it?

In most cases, HMRC will automatically adjust your tax code for 2026–2027. This means slightly higher tax deductions each month – for example, someone repaying £200 might see around £17 extra taken monthly.

If you complete a Self Assessment tax return, the repayment will be added to your 2025–2026 tax bill instead.

**There's no interest charged.**

## What should you do?

Check the official HMRC online checker if you're unsure whether your income exceeds the threshold. If you receive an official letter, read it carefully – HMRC will state that no immediate action is required and won't ask for personal or financial details.

**Important:** Scammers sometimes send fake HMRC messages. Ignore any message asking you to provide details or make a payment. The official letters about Winter Fuel Payment repayments will make this clear.

If you believe the calculation is wrong, you can challenge HMRC's decision.

## Looking ahead

From 1 April 2026, you can opt out of the Winter Fuel Payment for future years if you know your income will stay above £35,000. This saves HMRC (and you) the trouble of paying and repaying.

For more information, visit HMRC's official website or call them directly. Don't ignore the letter – but don't panic either. This is a straightforward admin process.

Source: BBC expert warns 'millions getting HMRC letter in April' and 'will have to pay back £300'