Child Benefit rates increasing
Child Benefit rates increased on 6 April 2024.
A family with one child will now receive up to £1,331 a year, which represents an annual increase of £83.20. For each additional child, families will receive up to £881 extra a year, reflecting an annual increase of £54.60 for additional children.
Parents will be granted £102.40 every 4 weeks (£25.60 per week) for their first or sole child, and an additional £67.80 every 4 weeks (£16.95 per week) for each subsequent child.
If either parent earns more than £60,000 a year the families will be subject to the tax known as High Income Child Benefit Charge (HICBC).
If either parent falls within the salary bracket of £60,000 to £80,000, the HICBC that must be paid will be 1% of the Child Benefit received for every £200 of income over £60,000. In this case, the joint income of both parents is irrelevant as only the individual income is considered for the tax.
If either parent has an income of £80,000 a year, then the tax will be the same value as the total Child Benefit received. In this situation, you can opt out of receiving the Child Benefit and you will have to pay back the entire Child Benefit entitlement.
Parents of newborn babies must apply online to begin receiving Child Benefit. Claims can only be backdated for a maximum of three months. Please visit https://www.gov.uk/government/news/what-the-child-benefit-rate-rise-means-for-you for more details.