DWP four reasons you might have to pay back Winter Fuel Payment

Millions of people will be automatically paid up to £300 to help with energy costs over the colder weather however some will have to send the money back

Many pensioners will have started to see Winter Fuel Payments drop into bank accounts. The money, aimed at helping people pay the ever-increasing energy bills, will be paid to millions of over-65s during November and December.

It was previously paid to all pensioners, but then last year the Labour government changed it so only those on certain means-tested benefits, such as Pension Credit, were given the financial help. This left just 1.5 million people qualifying for the money towards their winter energy costs.

This year, following a major outcry by pensioner’s organisations, the rules were changed once again. Chancellor Rachel Reeves has now restored the payment for pensioners who have an income of up to £35,000, extending eligibility to nine million people.

Everyone who was born before September 22, 1959 will be automatically paid between £100 and £300. But according to the government there are some circumstances which mean you will have to send the money back.

Your income is more than £35,000

If your income is more than £35,000 a year you will have to repay the money unless you have already opted out of receiving it. According to HMRC this is based on personal income. It says: “If your total personal income for the tax year is £35,000 or less – you’ll keep your payment, more than £35,000 – HMRC will take back your payment.

“If you live in a household with someone else who has also received a payment, we’ll look at each person’s individual income separately. For example, if you earn £36,000 and your partner earns £22,000, we’ll take back your payment, but your partner will keep their payment.”

You do not report a change straight away

According to the government rules you will have to repay money if you did not report a change in circumstances straight away. This could be if you moved home or stopped receiving a benefit which made you eligible for the money.

You gave incorrect information

If you received the payment after having got your details wrong when you applied then you will have to repay the money. This could be something like giving the incorrect date of birth on your application.

You are overpaid by mistake

Sometimes mistakes are made by the DWP or HMRC which means people are given too much money. If this happens you will need to repay anything you are not entitled to.