Thousands of British families have been wrongly targeted by a controversial HM Revenue and Customs (HMRC) crackdown on Child Benefit payments, according to a recent investigation.
Flawed System Causes Widespread Distress
Almost half (46%) of families initially flagged as potential emigrants were still living in the UK, the Guardian's investigation has revealed. The anti-fraud trial, which used Home Office travel data to identify potential fraudsters, has been described as deeply flawed.
One affected parent shared their distressing experience: "I have spent the whole day requesting letters from schools, nursery, the GP, while my partner finds bank statements, and we both try to dig out our travel information." They added that Ryanair couldn't provide confirmation of travel letters for their April 2022 Spain trip due to the airline's three-year cut-off policy.
Experts Question Data Reliability
Immigration barrister Colin Yeo of Garden Court Chambers warned that "relying on Home Office data for punitive purposes is always going to be problematic." The Liberal Democrats peer Tim Clement-Jones has formally questioned the government about its failure to publish the business case and data protection impact assessments for this initiative.
The crackdown has seen parents stripped of Child Benefit payments after travelling abroad on holiday, with many forced to provide extensive documentation to prove they still reside in the UK.
HMRC Response and System Changes
An HMRC spokesperson stated: "We're very sorry to those whose payments have been suspended incorrectly." The department confirmed it has taken immediate action to update the process, now giving customers one month to respond before payments are suspended.
Despite the high error rate, HMRC maintains that "the majority of suspensions are accurate" and reaffirmed its commitment to protecting taxpayers' money. The department continues to defend its anti-fraud measures while acknowledging the system's initial shortcomings.
