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Millions of DWP State Pensioners Facing New HMRC Tax Codes Change

Nearly two million pensioners face automatic repayments, with some losing up to £300 as HMRC uses tax code changes and Self Assessment returns.

  • On Tuesday, HM Revenue and Customs confirmed that pensioners with annual incomes above £35,000 must repay their winter 2025 payments, affecting nearly two million people across the UK beginning this month.
  • For most, this recovery occurs automatically through changes to their PAYE tax code or Self Assessment returns, requiring no direct action from affected pensioners as the government adjusts benefit distribution for higher earners.
  • A typical £200 payment will be recovered gradually at around £17 per month, while those who received up to £300 face higher monthly deductions; HMRC assesses individual income separately for household partners.
  • HMRC Chief Customer Officer Myrtle Lloyd warned that scammers are exploiting the recovery process, impersonating the tax body via text or email to trick pensioners into disclosing money or personal details.
  • With more than 25,000 Winter Fuel Payment scam reports recorded over the past year, authorities emphasize that HMRC will never request bank details via text or email; victims should contact their bank immediately.
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Keighley NewsKeighley News
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Thousands of pensioners to lose up to £300 as payments clawed back by HMRC

Millions of pensioners will repay Winter Fuel Payments, with some losing up to £300 through tax changes starting this month.

·Keighley, United Kingdom
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Daily Express broke the news in United Kingdom on Tuesday, April 14, 2026.
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