At the beginning of June, the UK government decided to reverse their cuts to the Winter Fuel Payment; meaning that of the 10.8 million people who received the Winter Fuel Payment in 2024-2025, 9 million will now be receiving this in 2025-2026.
Scammers, phishers and hackers often use news and fearmongering to convince people to part with their cash, and the back and forth around these payments has been no exception. The worries around the Winter Fuel Payment has created an opportunity for scammers to take advantage of those still confused about whether they will be eligible.
What is the energy payment allowance scam?
The energy payment allowance scam starts with a text message. Whilst there are a few iterations of this text, they all pertain to be from the DWP, or the Department of Work and Pensions. The message informs the recipient that they are eligible for a Winter Fuel Payment Allowance, Energy Allowance or Winter Heating Allowance, and that they need to submit an application to receive this allowance. The text also includes a link for pensioners to follow to submit their application.
This takes them to a page where they can ‘apply’, and victims are prompted to provide their personal information and their debit or credit card details to confirm the account that the payment will be sent to. Once the scammer has your card details, they are then able to make payments and charge things to your card.
This scam is particularly dangerous as it is specifically targeting pensioners, who may be particularly vulnerable to phishing. According to older people’s charity Independent Age, ‘Nearly three in five (61%) [of] people aged over 65 have been the target of fraud or a scam’ and ‘55% of over-65s could not correctly identify whether a text message purporting to be from their bank was legitimate or a scam.’
For those with friends and family who are pensioners, it’s important to ensure that they are aware of phishing scams such as the energy payment allowance scam. Independent Age states that, ‘On average, older people who have been scammed have lost nearly £4,000 each.’
What should I do if I’ve fallen for this scam?
Contact your bank directly and inform them that you’ve fallen victim to the scam. They’ll be able to freeze your card, send you a replacement and if you have lost money to a scammer, open an investigation to attempt to reclaim funds sent across. However, when you have sent money to a scammer, or the scammer has your details, there’s no guarantee that your bank will be able to refund money that you have lost.
How do I get the Winter Fuel Payment Allowance?
Those who are eligible for the Winter Fuel Payment Allowance will receive those payments automatically. You do not need to formally apply for this payment, and any texts, emails or phone calls you receive that state you do need to formally apply for this payment are illegitimate and should be ignored.
