Overview
- From April 2026, pensioners due to repay will receive letters or app messages confirming their 2026/27 tax‑code change to recover 2025/26 payments.
- Repayment applies to individuals with total personal income above £35,000, with eligibility assessed per person rather than by household.
- For a typical £200 payment, HMRC expects around £17 a month to be deducted in 2026/27, rising to about £33 a month in 2027/28 when two years are collected.
- Pensioners in Self Assessment will repay through their tax return, and HMRC will issue a tax calculation if PAYE deductions do not cover the full amount.
- HMRC says early repayment is not available; official guidance and a calculator are online, and media reports estimate around two million people will be affected.