Government confirms the EXACT amount Child Benefit will rise by – and when
Amber Middleton
Content writerChild Benefit will soon be rising – here's exactly what that means for parents, and how much you will get
Parents of two children will be £138 better off next year when Child Benefit payments increase.
Alongside all other benefits, Child Benefit will increase by 6.7%, in line with current levels of inflation.
Speaking in his Autumn Statement last month, the Chancellor said: 'The government has decided to increase Universal Credit and other benefits from next April by 6.7% in line with September’s inflation figure, an average increase of £470 for 5.5m households next year.
He said this would provide 'vital support to those on the very lowest incomes'.
HMRC has now confirmed the exact amounts the payments will rise to, with parents of one child to be £83 better off per year and parents of two children told they will be almost £140 better off per year.
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How much will Child Benefit increase?
Currently parents get £24 per week for their first child and £15.90 per each additional child.
This will increase to £25.60 per week for the first child and £16.95 per additional child from April next year which amounts to £1,248 for one child over a year and £2,074.80 for two children.
This means parents of one child will get an extra £83.20 per year and parents of 2 children will get an extra £138.84 per year.
'Child Benefit will increase from 8 April'
Laura Trott MP said: 'I have decided to increase tax credits and child benefit rates in line with the consumer price index (CPI) for the year to September 2023.
'All rates of child benefit, plus guardian's allowance, will increase by 6.7% from 8 April 2024. This means, for example, that the child benefit rate for the eldest child will increase from £24 to £25.60 per week.'
The government website then published details on how much the rate would increase for additional children.
What is Child Benefit?
Child Benefit is an allowance issued for parents living in the UK who are responsible for a child under 16.
Currently, there is no limit to how many children parents can claim the benefit for.
Who is eligible?
To qualify for Child Benefit, you must either live with the child or be paying at least the same amount as Child Benefit towards looking after them. This includes food costs, clothes, and pocket money.
Only one parent or guardian can receive Child Benefit per child.
When will Child Benefit payments be paid over Christmas?
Some benefit claimants will receive their benefits earlier this week, due to Christmas and the bank holidays and weekends.
Here's when to expect your Child Benefit over the festive period, per HMRC:
- If you're expecting payment on Monday 25 December, you'll instead receive it on Friday, 22 December
- If you're expecting payment on Tuesday 26 December, you'll instead receive it on Friday, 22 December
- If you're expecting payment on Saturday 30 December, you'll instead receive it on Friday, 29 December
- If you're expecting payment on Sunday 31 December, you'll instead receive it on Friday, 29 December
- If you're expecting payment on Monday 1 January, you should instead receive it on Friday, 29 December
Some families to be worse off
Despite the payment increase, some families might be worse off from the April increase due to the benefit cap.
The benefit cap is a limit on how much a household can claim from benefits. Currently, it stands at £22,020 for families or £14,753 for single adults (or slightly higher if you live in London).
The DWP has confirmed it won't increase next year. This means that if your benefits add to more than the above amounts on the new rates, you will have your payments cut.
Charity, Child Poverty Action Group (CPAG), said that tens of thousands of families will actually be worse off following the benefit uplift in April, with the average capped family losing out on £53 per week.
Alison Garnham, chief executive of CPAG said: 'There isn't a rhyme or reason for the benefit cap. It's illogical, denies families what they need and is actively pushing children into poverty.'
More financial help
In need of further money advice? Take a look at our Cost of Living hub for all kinds of stories on benefits and entitlements, budgeting and more.
You'll find articles about the cost of living payments, Household Support Fund and extra money you may be entitled to.
We also have tips and tricks from Money Saving Expert, Martin Lewis, and lots of advice on how to get some extra cash in the run-up to Christmas.
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