December 8, 2022
by  Josh Sab

Changes to Child Benefit payments 2023/24

From next year, those who get Child Benefit or Guardian Allowance will receive more money HMRC has published proposed new rates for weekly payments, which will come into effect from April 2023. This is after Chancellor Jeremy Hunt confirmed benefits would rise by 10.1% next year.

Child Benefit can be given to those responsible for raising a child or young person as long as they are in education or on an approved training course and still under 20. The benefit is paid every four weeks, either on a Monday or a Tuesday, and there is no limit to how many children guardians can claim for.

A person doesn't need to have made National Insurance contributions to qualify and anyone on an income below £50,000 does not have the amount they receive altered or clawed back. Below are the proposed new rates.

Child Benefit payment rates for 2023/24

There are two Child Benefit rates in place.

Current rates per week

  • Eldest or only child - £21.80

  • Additional children - £14.45

New rates per week - from April 2023

  • Eldest or only child - £24.00

  • Additional children - £15.90

Here we can see an increase of £2.20 and £1.45 each meaning over the entire year parents would receive an extra £114.00 and £75.40 respectively.

Guardian's Allowance rates from April 2023

The weekly rate for Guardian's Allowance is changing to £20.40 - an increase of £1.85 from the 2022/23 rate of £18.55. This is paid every four weeks, which means payments will go from £74.20 to £81.60.

How do earnings affect Child Benefit?

Anyone can claim Child Benefit if they are responsible for a child, but earnings may affect payments. If a claimant or their partner earns more than £50,000 a year they will need to pay back some of the Child Benefit as Income Tax.

1% of the Child Benefit will need to be paid back for every £100 earned over £50,000 each year. If £60,000 or more is earned in a year, all of the Child Benefit claimed will need to be paid back.

For further details specific to your case or applications you can contact us at finance@pfconsult.co.uk

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