HM Revenue and Customs (HMRC) is encouraging individuals with annual earnings below £80,000 to apply for a benefit that could provide thousands of pounds in yearly support. Parents and carers can claim Child Benefit to assist with the costs of raising children, offering substantial financial aid each year.
What Is Child Benefit?
Child Benefit is a tax-free payment available to those responsible for bringing up a child. Entitlement applies to each child under the age of 16, or under 20 if they are in approved education or training. Claiming Child Benefit also automatically grants National Insurance credits, which count towards your State Pension, helping to avoid gaps in your National Insurance record if you are not working or do not earn enough to pay National Insurance contributions.
How Much Can You Get?
Following a 3.8% increase in April, Child Benefit now stands at £27.05 per week for the eldest or only child (equivalent to £1,406.60 per year) and £17.90 per week for each additional child (an extra £930.80 per year). For example:
- Two children: £2,337.40 per year
- Three children: £3,268.20 per year
There is no upper limit on the number of children you can claim for, aside from the Benefit Cap, so larger families can receive even more.
Income Thresholds and High Income Child Benefit Charge
You can receive Child Benefit in full if your individual adjusted net income is up to £60,000. If your earnings fall between £60,000 and £80,000, you will be subject to the High Income Child Benefit Charge (HICBC). HMRC begins to claw back payments at a rate of 1% for every £200 earned above £60,000. Once your annual income reaches £80,000 or more, you must repay the full amount.
However, it remains worthwhile to claim Child Benefit even if you earn £80,000 or more, as you will still receive National Insurance credits essential for protecting your entitlement to the full State Pension later in life. Additionally, your child will automatically receive a National Insurance number without needing to apply before turning 16.
Claiming Early Is Crucial
HMRC has reminded families, including high earners, to claim Child Benefit as soon as they become eligible. Data shows that more than 30% of new parents miss out on payments by not claiming within their baby's first year. According to HMRC figures, over 6.8 million parents received Child Benefit in the year to August 2025, but only 68.8% claimed before their child turned one.
Child Benefit can be claimed 48 hours after a child's birth is registered, or once a child comes to live with you. However, claims can only be backdated for up to three months from the date a claim is made. This means parents who delay claiming lose at least three months' worth of payments.
What HMRC Says
An HMRC spokesperson stated: “While more than 6.8 million parents received Child Benefit in the year to August 2025, only 68.8% of them claimed the crucial government support before their baby’s first birthday. More than 140,000 babies were born between April and June last year and while many parents are enjoying new beginnings this Spring, the latest statistics show thousands of families could be missing out on much-needed cash by delaying their claim. Child Benefit is worth £27.05 per week - or £1,406.60 a year - for the eldest or only child and £17.90 per week - or £930.80 a year - for each additional child, with no limit as to how many children parents can claim for. Child Benefit can be claimed 48 hours after the baby’s birth is registered but can only be backdated for up to 3 months from the date HMRC receives the claim, meaning thousands of families are not getting what they’re entitled to receive.”
Options for High Earners
If your income exceeds the threshold, you can choose to either receive Child Benefit payments and pay the tax charge, or opt out of receiving payments and avoid the tax charge. If you opt to pay the tax charge, you can do so either through your PAYE tax code or via Self Assessment.
