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HMRC letters land on doorsteps for £1,406 payments | Personal Finance | Finance

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HMRC deadline letters to extend Child Benefit claims will be landing on doorsteps from Friday, May 8 (Image: Getty)

HM Revenue and Customs (HMRC) letters will land on the doorsteps of 1.5 million UK households from today, May 8, for payments worth at least £1,406.60. The letters are reminders for Child Benefit claiming households with teenagers to renew their claim before a looming deadline this summer, otherwise payments will automatically stop.

Parents or guardians who are responsible for raising a child under 16, or under 20 if they are in approved education or training, can claim Child Benefit to help with childcare costs. Thanks to a 1.7% uplift on April 6, the payments are now paid at a rate of £27.05 per week (up from £26.05) for the eldest or only child and £17.90 per week (up from £17.25) for each additional child, representing an annual increase of £52 and £33.80 respectively.

As Child Benefit is paid every four weeks, it means parents with one child can get now get £108.20 every four weeks, or £1,406.60 per year, while those with two children can get £69 every four weeks, or an additional £930.80 per year. But there’s no limit – other than the Benefit Cap – which means if you have three or four children, you could get even more.

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But payments will stop on or after a child’s 16th birthday unless parents confirm their teenager’s plans by August 31. Parents of 16 to 19-year-olds have until the August deadline to extend their Child Benefit claim if their teenager is staying in certain types of education or training after completing their GCSEs or National 5s.

HMRC reminder letters are due to land on the doorsteps of around 1.5 million households from Friday, May 8, urging claimants to act before the deadline to ensure payments don’t stop.

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.”

Parents only need to extend their Child Benefit claim if their teenager is starting a new course or a qualifying training in September. Those already partway through a course previously notified to HMRC don’t need to do anything.

Claimants who already know their teenager’s plans don’t need to wait for their letter to arrive, as they can act now and extend their claim on the HMRC app or online at GOV.UK. The letters also include a QR code linking directly to HMRC’s digital service.

Child Benefit can continue for teenagers studying full-time in non-advanced education, or on unpaid approved training courses, and according to HMRC, 874,000 parents extended their Child Benefit claim last year, with more than half doing so online or through the HMRC app.

With the new higher rates now in place, it’s a cash boost well worth having, so parents are urged not to miss the August deadline, or they will miss out on at least £1,460.60 per year.

Failure to extend claims by August 31, either online via the HMRC website or through the HMRC app, will mean payments will automatically stop on this date.

In cases where a Child Benefit claimant or their partner has an individual income of between £60,000 and £80,000, the higher earner may be liable for the High Income Child Benefit Charge (HICBC).

Claimants can use the online Child Benefit tax calculator for an estimate and can pay the charge through their PAYE tax code using the HICBC digital service, or through Self Assessment.



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