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Child benefit payments set to rise for UK families

Critics argue the system still unfairly penalises single-parent households

Child benefit payments set to rise for UK families

Child benefit, normally paid every four weeks directly into bank accounts, has undergone significant changes in recent months (Photo: Getty Images)

MILLIONS of British families are set to receive a financial boost as child benefit payments increase from April 7, according to HM Revenue and Customs (HMRC).

From next week, parents will receive £26.05 per week for the eldest or only child, amounting to £1,354.60 annually - up from the current rate of £25.60. For each additional child, payments will rise to £17.25 weekly, totalling £897 per year - an increase from the present £16.95 rate. This represents a 1.7 per cent increase across all payment categories.


Myrtle Lloyd, HMRC's director general for customer services, stressed the importance of these payments for household finances: "Extra pounds count and child benefit can give your household budget a boost. Claiming online or managing your Child Benefit payments via the HMRC app is quick and easy so, if you haven't already, go to GOV.UK to start your claim."

The benefit, normally paid every four weeks directly into bank accounts, has undergone significant changes in recent months. The High Income Child Benefit Charge threshold was raised from £50,000 to £60,000 in the Spring Budget, with the upper limit increased to £80,000.

This means payments now begin to taper for those earning above £60,000 and cease entirely at £80,000 - widening the eligibility criteria for thousands of families.

Despite these changes, critics argue the system still unfairly penalises single-parent households and families with one high earner. A two-parent household with each earning £60,000 (totalling £120,000) can receive full payments, whilst a single parent earning £80,000 would receive nothing.

In her recent Spring Statement, chancellor Rachel Reeves announced plans to reduce bureaucracy for eligible working parents liable to the High Income Child Benefit Charge. From summer, families will have the option to report Child Benefit payments and pay the charge directly through their PAYE tax code rather than filing a Self Assessment tax return.

HMRC said that over 1.2 million parents have claimed child benefit through the HMRC app or digital service since its launch in May 2023, with more than 87 per cent of claims now processed digitally. The app allows users to make new claims, update circumstances, amend personal details, add additional children, view proof of entitlement, and report on children's education status.

Parents are encouraged to claim as soon as possible after their child's birth, as payments can only be backdated up to three months. To claim, parents need their child's birth or adoption certificate, bank details, National Insurance number, and additional documentation for children born outside the UK.

Child benefit is available for children under 16, or under 20 if in approved education or training. Importantly, claiming also provides National Insurance credits that count towards state pension eligibility - particularly valuable for those not in paid employment.

Claims also ensure children automatically receive their National Insurance number upon turning 16.

The upcoming Easter bank holidays will affect payment schedules, with payments due on Easter Monday (April 21) expected to arrive earlier on April 17, as Good Friday (April 18) is also a bank holiday.

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