HMRC has issued a warning to UK households with children that support payments of up to £1,406 a year will stop automatically if parents do not take action. Letters are being sent out to 1.5 million households during May, reminding them to confirm their teenager's plans.
Who is affected?
The warning applies to parents of 16-to-19-year-olds who claim Child Benefit. Payments will automatically cease on August 31 on or after a child's 16th birthday unless parents confirm that their child is staying in certain types of education or training, such as after GCSEs or National 5s.
How to renew
Reminder letters are arriving in early May, but parents can renew their claims online before then via the HMRC app or GOV.UK. HMRC reported that last year 874,000 parents extended their claim, with more than half doing so online or through the app.
Child Benefit is worth £27.05 a week (or £1,406.60 a year) for the eldest or only child, and £17.90 a week for each additional child.
Official comment
Myrtle Lloyd, HMRC’s chief customer officer, said: "Child Benefit is a real financial boost for families, so if your teenager already knows they're staying in education or training after their GCSEs or National 5s, you don't need to wait for our letter. You can extend your Child Benefit claim today in minutes via the HMRC app or online at GOV.UK."
High Income Child Benefit Charge
If a Child Benefit claimant or their partner has an individual income between £60,000 and £80,000, the higher earner may be liable for the High Income Child Benefit Charge (HICBC). Parents should check their income to avoid unexpected tax charges.
For more information, visit the official GOV.UK website or use the HMRC app to manage your claim.
