The Department for Work and Pensions has clarified eligibility for the 2025–26 Winter Fuel Payment, identifying four specific groups of pensioners who will not receive the benefit despite a recent government u-turn. The tax-free payment, worth up to £300, is designed to help older people in England and Wales cope with heating costs during the colder months.
Although millions of pensioners will receive the payment automatically this winter, some groups are excluded even if they meet the age and income criteria. The decision comes as part of the UK government’s continued efforts to support pensioners through the cost-of-living crisis, with eligibility based on date of birth and taxable income.
Eligibility Tightened Despite Broad Rollout
The Winter Fuel Payment for the 2025–26 season will be distributed to all individuals born before 22 September 1959 and residing in England or Wales, according to the Department for Work and Pensions (DWP). This includes a basic payment of £200, with £300 allocated to households where someone is aged 80 or over.
The payment will be made automatically to qualifying pensioners, with no application necessary. Letters confirming the specific amount will be sent out in October or November, and the money will be transferred between November 2025 and January 2026. For individuals with taxable incomes above £35,000, the sum will be recovered through HMRC in the form of additional tax.
Over 12 million pensioners are expected to benefit from the scheme, which accompanies the government’s commitment to the Triple Lock, a policy that ensures State Pensions rise each year in line with the highest of inflation, average earnings, or 2.5%. According to the DWP, this could result in a pension increase of up to £1,900 over the course of this parliament.
Four Groups Will Not Receive Payment
Despite the scheme’s broad coverage, the DWP has confirmed that four groups will be excluded from receiving the Winter Fuel Payment this year, even if they meet both age and income thresholds.
The first group includes people who live permanently outside England and Wales, regardless of their nationality or previous residence. The second applies to individuals who were in hospital receiving free treatment for the entire week of 15 to 21 September 2025, and the same week in the previous year.
The third exclusion applies to those who were in prison during that same week in September 2025, making them ineligible under existing public benefit rules. The fourth group includes people who live in care homes and have done so continuously since 23 June 2025 or earlier, if they also receive income-related benefits, such as Pension Credit, Universal Credit, Income Support, Jobseeker’s Allowance (JSA) or Employment and Support Allowance (ESA).
