UK households claiming Child Benefit are set to receive an annual payment boost of £49.40 from HM Revenue and Customs (HMRC), with no limit on how many children they can claim for. The uplift follows a 3.5% increase to current rates, confirmed by HM Treasury in line with the consumer price index (CPI) inflation rate for the year to September 2026.
New rates from April
From April, the Child Benefit rate for the eldest or only child will rise from £27.05 per week to £28, while the rate for any additional children will go up from £17.90 per week to £18.55. Parents or guardians responsible for raising a child under the age of 16, or under 20 if they stay in approved education or training, can claim Child Benefit to help with childcare costs.
While only one person can claim the benefit for a child, there is no limit to how many children you can claim for, so families with more than one child could get even more than £49.40 extra per year. Parents claiming for their only or eldest child can receive £1,456 in Child Benefit payments per year in the 2027 to 2028 tax year, giving them an extra £49.40 annually on current rates.
More for larger families
For those with more than one child, they can get an extra £964.60 per year from April, an increase of £33.80 annually on current amounts. The new rates were announced following Chancellor Healey’s Budget speech on October 28, where he set out the government’s spending plans for the year ahead.
Confirming the boosted payments from April, Emma Reynolds, Chief Secretary to the Treasury, said: "I have decided to increase child benefit rates in line with the consumer price index for the year to September 2026, which is 3.5%. Guardian’s allowance will also increase by the same rate. This means that, from 12 April 2027: the child benefit rate for the eldest child will increase from £27.05 to £28.00 per week; the child benefit rate for other children will increase from £17.90 to £18.55 per week; guardian’s allowance will increase from £22.95 to £23.75 per week. I have determined that there will be no need for changes to tax credits rates in the tax year 2027-28, as there are no tax credits awards after 5 April 2025. The new rates will apply across the United Kingdom."
Automatic offset of overpayments
Documents published by the Treasury after the Budget also set out HMRC plans to automatically offset Child Benefit overpayments, in a move aimed at simplifying how the High Income Child Benefit Charge (HICBC) is paid. The Treasury said: "HMRC will automatically offset Child Benefit overpayments against the High Income Child Benefit Charge (HICBC), simplifying administration for affected customers by reducing unnecessary payment and repayment transactions. This will be introduced through legislation in Finance Bill 2026-27 with retrospective effect from HICBC’s introduction in January 2013."
Under current rules, where a Child Benefit claimant or their partner has an individual adjusted net income of more than £60,000, the higher earner may be subject to pay the HICBC. The charge sees claimants pay back 1% of their Child Benefit for every £200 earned over £60,000, and if you earn more than £80,000, you must pay it all back. Claimants can choose to pay the tax charge either through their PAYE tax code using the HICBC digital service, or through Self Assessment.
