HM Revenue and Customs (HMRC) issued a warning in light of the changes to the Winter Fuel Benefit. In a major overhaul, nine million pensioners are now eligible to receive this benefit aimed at assisting with rising energy costs during the winter.
Worth £200, or £300 for households with someone over 80, the Winter Fuel Benefit was limited last year to state pensioners receiving means-tested benefits such as Pension Credit, Universal Credit, and Housing Benefit. However, it’s been replaced by the Pension Age Winter Heating Payment in Scotland.
Chancellor Rachel Reeves announced in the House of Commons earlier this week (June 11) that significant changes to the benefit have been implemented. Now, in England and Wales, Winter Fuel Payments will be automatically given to all households with someone over state pension age.
Those earning over £35,000 per year, however, will need to repay the benefit, which HMRC will recover through PAYE or self-assessment returns. You can also choose to decline receiving the payment if your income exceeds £35,000 – the specifics of which have yet to be detailed.
HMRC cautioned Brits via X (formerly Twitter) to be on the lookout for scams and prevent financial loss after scammers sought to exploit the government’s revamp. “Some customers are being contacted by scammers about claiming the Winter Fuel Payment,” the tweet read, reports the Mirror.
“We’ll never contact you by text to claim this money or send personal information. You don’t need to do anything. Payments will be made automatically.”
HMRC has set up a detailed checklist on its website designed to help residents in the UK identify ‘suspicious contact’, distinguishing between scams and legitimate HMRC communication.
While HMRC does occasionally text its customers, if any of the following applies, your message might be part of a scam:
- Rushes you
- Is threatening
- Is unexpected
- Asks for personal information like bank details
- Tells you to transfer money
- Offers a refund, tax rebate or grant
Regarding Winter Fuel Payments, they will continue to be made per household, but eligibility based on income will be assessed individually.
For instance, in a shared living situation where one person has an annual income of £30,000 and the other £40,000, the former may retain their portion of the Winter Fuel Payment whilst the latter might have to repay theirs.
Once more, these payments will be automatically processed – so Brits don’t need to apply or get in touch with HMRC to receive the benefit. Most individuals typically receive their Winter Fuel Payment from November each year. Your eligibility is determined by your age at the end of the qualifying week.
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