Millions of families in the UK will see their Child Benefit payments increase starting April 2025. HMRC has confirmed that families with one child will now receive £26.05 per week, up from £25.60. Families with additional children will receive £17.25 per week for each extra child, an increase from £16.95.
With around 7 million families claiming Child Benefit for approximately 13 million children, this increase will provide additional financial support to many households.
New Child Benefit Rates from April 2025
From April 2025, Child Benefit payments will be:
- £26.05 per week for the first child (previously £25.60).
- £17.25 per week for each additional child (previously £16.95).
Unlike some other benefits, there is no limit on how many children families can claim for.
Who is Eligible for Child Benefit?
You can claim Child Benefit if you are responsible for a child who is:
- Under 16 years old.
- Under 20 years old if they stay in approved education or training.
If you are already claiming Child Benefit, you do not need to reapply—the increased payments will be automatically adjusted in your bank account.
To update personal details (e.g., a new bank account or address), families can visit GOV.UK and make changes online.
Child Benefit and High-Income Charge
If you or your partner earns above the income threshold, you may have to pay the High Income Child Benefit Charge (HICBC).
Income Thresholds for Child Benefit Charge:
- Over £60,000 (from 2024/25 tax year).
- Over £50,000 (for tax years up to 2023/24).
This income includes:
Salary before personal allowances and Gift Aid.
Interest from savings and dividends.
If one partner earns over £80,000, the charge will cancel out the Child Benefit payments, meaning no financial gain. However, families can still claim for other benefits, such as National Insurance credits.
To check if you will be affected, use the Child Benefit tax calculator on GOV.UK.
Do I Need to Pay Tax on Child Benefit?
If your income is over the threshold, the partner with the higher adjusted net income is responsible for paying the High Income Child Benefit Charge. You must:
- Fill in a Self Assessment tax return each year.
- Pay back part or all of the Child Benefit, depending on your income level.
National Insurance Credits and Child Benefit
If you claim Child Benefit and your child is under 12, you will automatically receive National Insurance credits. These credits help you qualify for the State Pension by filling gaps in your National Insurance record if:
- You are not working.
- You do not earn enough to pay National Insurance contributions.
Can I Transfer My National Insurance Credits?
If you don’t need the credits, your family may transfer them to:
- Your husband, wife, or partner.
- A family member who provides care for your child (via Specified Adult Childcare Credits).
Only one person can claim Child Benefit for each child.
The increase in Child Benefit payments from April 2025 will provide financial relief to millions of UK families. However, those earning above the £60,000 threshold must be aware of the High Income Child Benefit Charge and may need to pay tax on their benefit.
Families should check their eligibility, update their details on GOV.UK, and ensure they receive National Insurance credits to protect their State Pension.
FAQ’s
How much will Child Benefit increase in April 2025?
From April 2025, families will receive £26.05 per week for the first child (up from £25.60) and £17.25 per week for each additional child (up from £16.95).
Who is eligible for Child Benefit?
You can claim Child Benefit if you are responsible for a child under 16, or under 20 if they are in approved education or training.
Do I need to reapply for the increased Child Benefit payments?
No, if you already claim Child Benefit, the new rates will be automatically adjusted, and payments will continue into your bank account.
What is the High Income Child Benefit Charge?
If you or your partner earns over £60,000 (from 2024/25), you may have to pay tax on your Child Benefit. The charge increases with higher earnings.
What happens if my income is above £80,000?
If your income exceeds £80,000, the charge will equal your Child Benefit payments, meaning you receive no financial gain, but you can still claim National Insurance credits.
Do Child Benefit claimants get National Insurance credits?
Yes, if your child is under 12, you automatically receive National Insurance credits, which help protect your State Pension entitlement.
Can I transfer my National Insurance credits?
Yes, if you don’t need the credits, your partner or a family member providing childcare may be eligible to claim them instead.
