Pensioners with an income of more than £35,000 will have the payment clawed back through the tax system.

12:47, 18 Jun 2025Updated 12:50, 18 Jun 2025

Pension Age Winter Heating Payment will be delivered by Social Security Scotland and replace the annual Winter Fuel Payment from DWP.Pension Age Winter Heating Payment will be delivered by Social Security Scotland and replace the annual Winter Fuel Payment from DWP.(Image: Getty Images )

SNP Ministers will take back winter fuel payments from better off pensioners on more than £35,000 a year.

The clawback mirrors the approach being pursued by the UK Government.

The winter fuel payment policy has been in chaos after Chancellor Rachel Reeves initially withdrew between £200 and £300 from around ten million pensioners.

She eventually u-turned and settled on a system where pensioners with an income of less £35,000 would receive their payment.

With the policy devolved, SNP First Minister John Swinney said this week that no pensioner would be worse off than south of the border.

His Social Security Secretary Shirley-Anne Somerville has now provided more details of the Pension Age Winter Heating Payments (PAWHP).

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Depending on age, pensioners with an income of less than £35,000 will receive either £203.40 or £305.10 per household, more than they would in England.

This move will see over 720,000 Scots pensioners benefit, but the SNP Government will hold talks with Whitehall about recovering PAWHP from older people with incomes above the £35,000 threshold.

Somerville said: “The UK Government’s decision to cut the Winter Fuel Payment last winter was a betrayal of millions of pensioners, and their recent U-turn is welcome if belated.

“Following careful consideration of the options available, the Scottish Government will mirror the approach taken by the UK Government. We will bring forward regulations to ensure that, from this winter onwards, all pensioners will receive either £203.40 or £305.10 per household, depending on age.

“We are in discussion with the UK Government to extend the proposed arrangements in England and Wales to recover payments from those pensioners with an individual income of more than £35,000 through the tax system. The intention is that the payment will be recovered automatically, and pensioners will not need to register with HMRC for this or take any further action.

“This approach ensures a higher level of support which those most in need will receive. Over 720,000 Scottish pensioners are estimated to benefit from the higher payment.”

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