Nine million pensioners across England and Wales are now eligible for the Winter Fuel Payment, a government initiative designed to assist with heating costs during the colder months.
While the payment will be automatically processed for the majority of pensioners who meet the criteria, two specific groups are being urged to take action to ensure they receive their support.
According to a report by GB News, these groups, which include those who have deferred their state pension or recently returned from living abroad, risk missing out on this important financial aid if they do not update their details with the Department for Work and Pensions.
Eligibility Expanded for Winter Fuel Payments
This week, the Department for Work and Pensions (DWP) confirmed that the eligibility for Winter Fuel Payments has expanded significantly, with an estimated nine million pensioners now qualifying.
This marks a substantial increase from last winter when only 1.5 million pensioners received the support, and now represents more than three-quarters of all pensioners in England and Wales.
The DWP has updated its guidance, confirming:
The Winter Fuel Payment for 2025 to 2026 will be made to everyone in England and Wales born before 22 September 1959, unless you choose not to get it. You could get either £200 or £300 to help you pay your heating bills for winter.
Who Needs to Take Action?
While the majority of eligible pensioners will receive the payment automatically, there are two specific groups that may need to contact the DWP directly to confirm their details and ensure they do not miss out.
These groups are:
- Pensioners who have deferred their state pension. If you have opted to delay your pension, you may need to update your information to ensure eligibility.
- Pensioners who have recently returned from living abroad. Those who have lived outside of the UK and returned recently must also verify their details with the DWP.
BBC’s Cost of Living correspondent, Colletta Smith, warned:
There will be a small number of people who might need to update their details.
So if you have deferred your state pension or if you’ve lived abroad recently and have moved back, it’s probably worth contacting the Government to make sure that you do get that payment.
For everybody else, you won’t have to apply for it.
Automatic Payments for Most Pensioners
For the majority of pensioners, the Winter Fuel Payment will be processed automatically.
The DWP has confirmed that no application forms are necessary, and payments will begin arriving in bank accounts from early November.
Eligible pensioners will receive either £200 or £300 depending on their age and household circumstances.
Colletta Smith emphasised:
So like it used to. Previously you don’t have to apply for it.
It just pops into your bank accounts come the beginning of November onwards, so you don’t have to worry about any complicated forms to fill in.
The DWP also confirmed:
You do not need to do anything – payments will be made automatically.
Income Threshold and Payment Recovery
To qualify for the payment, pensioners must have an income of £35,000 or less.
Those with incomes exceeding this threshold will not receive the Winter Fuel Payment and may be subject to recovery action through HMRC. The DWP has stated:
If your income is over £35,000, your Winter Fuel Payment will be recovered later through HMRC. Details of the 2025 to 2026 payment will be available by the end of June 2025.
An estimated 2 million pensioners with taxable incomes exceeding £35,000 will not qualify for the payment.
Policy Changes and Public Reception
The transition from a universal payment system to a means-tested approach has been one of the first major decisions made by Chancellor Rachel Reeves since Labour’s election victory.
The policy change, however, has drawn some criticism, particularly concerning its impact on pensioners who may miss out on support due to the new requirements.
Projected Costs and Fiscal Implications
The government estimates that the expanded Winter Fuel Payment scheme will cost £1.25 billion.
While the new system is expected to save around £450 million compared to the previous universal payment model, officials have committed to ensuring that these additional costs do not lead to permanent increases in government borrowing.
Despite the concerns, the DWP has reassured pensioners that the payments will be processed automatically for most, providing crucial assistance during the winter months.
The payment amounts will remain unchanged at £200 per household, with households containing someone aged over 80 receiving £300.