£2,200 Cost of Living per year 2025: Many families across the UK are unknowingly missing out on valuable financial support through Child Benefit payments. Over 200,000 eligible parents are failing to claim their entitlement, which could be worth an extra £2,200 per year. The benefit provides crucial financial help for families raising children, yet a large number remain unaware of their eligibility or have opted out due to past income limits.
How Much is Child Benefit Worth?
Currently, Child Benefit is worth £25.60 per week for the eldest or only child and £16.95 per week for each additional child. However, from next month, these payments will increase slightly due to inflation. The new rates will be:
- £26.05 per week for the eldest or only child
- £17.25 per week for each additional child
This means families who are not claiming are missing out on even more financial support.
Have You Opted Out Due to the High Income Child Benefit Charge?
Many parents previously opted out of receiving Child Benefit because of the High Income Child Benefit Charge (HICBC), which required those earning above a certain amount to repay part or all of their benefit.
However, the income threshold has now increased to £60,000, meaning more families can claim without facing the charge. If you or your partner earn below this threshold, you may be eligible for Child Benefit payments again.
Over 200,000 Families Missing Out on Child Benefit
Recent data obtained by The Sun through a Freedom of Information request at the end of 2024 revealed that 214,000 eligible families are not claiming Child Benefit. This could be due to a lack of awareness, past income restrictions, or confusion about the application process.
Who Can Apply for Child Benefit?
Child Benefit is available to parents or guardians responsible for raising a child who is:
- Under 16 years old, or
- Under 20 years old if they remain in approved education or training.
There is no limit on the number of children for whom you can claim Child Benefit.
Why Claiming Child Benefit is Important
Besides the financial support, claiming Child Benefit offers other benefits, including:
- National Insurance Credits: These count towards your State Pension, helping ensure financial security in retirement.
- Automatic National Insurance Number for Your Child: When your child turns 16, they will automatically receive a National Insurance number, which is essential for employment, student finance applications, and other milestones.
How to Apply for Child Benefit
Parents can apply for Child Benefit online via the official HMRC website. If your child’s birth was registered outside the UK or you have an adopted child, you may need to send additional documents by post.
If you have a child over three months old and have not yet claimed, you should apply immediately, as you can receive up to three months of backdated payments.
Child Benefit Payments to Increase in 2025
The UK government has confirmed that Child Benefit payments will rise by 1.7% in April 2025, alongside other benefits such as Universal Credit and Personal Independence Payments (PIP).
This means the new Child Benefit rates will be:
- £26.05 per week for the eldest or only child
- £17.25 per week for younger children
Families already claiming Child Benefit do not need to take any action, as the increased payments will be deposited into their bank accounts automatically. However, if your bank account details or address have changed, you should update them via the HMRC app or GOV.UK website.
With the cost of living rising, claiming Child Benefit can provide essential financial relief for families. Many parents may have opted out in the past due to income restrictions, but with the threshold now increased to £60,000, they could be eligible again.
If you are responsible for a child under 16 (or under 20 in education or training), applying for Child Benefit can help secure additional support while also contributing towards your State Pension. Ensure you claim what you’re entitled to and don’t miss out on this important financial assistance.
FAQ
Who is eligible for Child Benefit in the UK?
Any parent or guardian responsible for a child under 16, or under 20 if in approved education or training, is eligible to claim Child Benefit. There is no limit on the number of children you can claim for.
How much is Child Benefit from April 2025?
From April 2025, Child Benefit will increase to £26.05 per week for the eldest or only child and £17.25 per week for each additional child.
Can I backdate my Child Benefit claim?
Yes, you can backdate your Child Benefit claim for up to three months from the date of your application.
What is the High Income Child Benefit Charge (HICBC)?
The High Income Child Benefit Charge applies to anyone earning over £60,000 and may require partial or full repayment of Child Benefit. However, if you earn below £60,000, you may now be eligible to claim.
How can I apply for Child Benefit?
You can apply for Child Benefit online through HMRC’s official website. Additional documents may be needed if your child was born outside the UK or is adopted.
