Winter Fuel Payment tax charge

tiemadmin • 11 December 2025

The June 2025 reforms introduce a £35,000 income limit for keeping the Winter Fuel Payment, with HMRC recovering the payment from those above the threshold.

The WFP is a tax-free payment provided by the government to help older people keep warm during winter. The amount of the payment depends on individual circumstances but ranges from £100 to £300. The amount you receive depends on a number of factors including your age and the age of other people living with you.

Pensioners whose taxable income exceeds £35,000 will still receive payment but this will be recovered in full by HMRC using the new WFP tax charge. The recovery will be handled through PAYE tax‑code adjustments or the self-assessment return, depending on the taxpayer’s circumstances.

The threshold applies to individuals, not household income. This means that in some couples, one person may keep their payment while the other has theirs reclaimed, depending on individual incomes. Individuals in receipt of certain social security benefits in the qualifying week for winter payments will not be liable to the charge, regardless of income. 

< Older Post

Newer Post >

Budgeting and forecasting in a period of lower confidence

by tiemadmin • 9 February 2026
Many business owners are entering the new year with a sense of caution. Confidence across the UK business community has softened, driven by continued cost pressures, uncertainty over tax policy and The post Budgeting and forecasting in a period of lower confidence appeared first on Feldon Accountancy.

Business rates support and cash flow for hospitality businesses

by tiemadmin • 9 February 2026
Hospitality businesses continue to operate in a challenging environment. Rising wage costs, energy prices and supply chain pressures have all placed strain on margins. Against this backdrop, recent The post Business rates support and cash flow for hospitality businesses appeared first on Feldon Accountancy.

Eligibility for Business Asset Disposal Relief

by tiemadmin • 5 February 2026
Business Asset Disposal Relief (BADR) can significantly reduce the Capital Gains Tax due when selling a business or shares, but with higher rates coming from April 2026, timing and eligibility matter The post Eligibility for Business Asset Disposal Relief appeared first on Feldon Accountancy.