HMRC

Child Benefit Earnings Cap Raised From £50k to £60k

You may have seen the changes in the spring budget and noticed an increase in the earnings cap for receiving child benefit. 

Child benefit is a payment from the government to those who have children. In 2024, the amount you receive is:

• £25.60 per week for your first child

• £16.95 per week for any subsequent children 

Children must be under 16 years of age or under 20 years in certain types of full-time education. 

Child Benefit Earnings Cap

A cap on earnings for those receiving this benefit was introduced in 2013. This is known as the high-income child benefit charge. Up until April 2024, if one of the adults in your household were earning £50k, you would begin to sacrifice your child benefit. This was stepped up in percentages until the yearly earnings reached £60k, at which point the whole child benefit would be sacrificed. 

The threshold is only on the salary of the adult who earns the most, not the combined wage of the household. 

With the new spring budget, this earnings cap has been raised from £50k to £60k, and the point at which the whole benefit would be sacrificed is now £80k. 

Further to this increase in child benefit earning cap, the government will also consider a household-based earnings system rather than solely one parent’s earnings. This will be reviewed in 2026. 

Claiming the Child Benefit 

If you have previously been a victim of the high-income child benefit charge and have opted out of receiving the payment, you must re-register to start receiving the payments if you are now entitled to the benefit. This will not be done automatically.