Child Benefit

Universal benefit paid by HMRC:

• 1st child: £26.05/week (≈ £113/month, i.e. £1,354/year)
• Each additional child: £17.25/week (≈ £75/month)
• Paid until age 16 (20 if in secondary studies)
• Paid every 4 weeks (monthly available for single parents/low-income families)

High Income Child Benefit Charge (HICBC)

Tax charge introduced in 2013, reformed in 2024:

• If individual income > £60,000 (vs £50,000 before 2024): progressive charge
• If income > £80,000 (vs £60,000 before): 100% of Child Benefit clawed back via tax
• 2026 reform planned: switch to household income (vs individual now)
• Option to “claim but not receive” to preserve State Pension rights

Universal Credit — Child Element

Universal Credit (UC) includes several family elements:

• Child Element: £339/month/child (1st and 2nd child) — 2024 reform increased
• Limited to 2 children: restrictive rule since 2017 (except multiple-birth exceptions, etc.)
• Disabled Child Addition: £156–£487/month by degree
• Childcare Element: 85% of childcare costs, max £1,015/month for 1 child, £1,739/month for 2+
• Paid monthly by DWP to bank account

Statutory Maternity Pay (SMP) — 39 weeks

Managed by HMRC via the employer:

• First 6 weeks: 90% of average salary
• Following 33 weeks: £184.03/week or 90% of salary (lower of)
• Conditions: 26 weeks of continuous employment + £123/week minimum earnings
• Maternity Allowance: alternative for self-employed (£184/wk for 39 wks)
• Plus 13 additional unpaid weeks (total 52 wks)

Statutory Paternity Pay (SPP) — 2 weeks

2 weeks at £184.03/wk or 90% of salary (lower of):

• To use within 56 days of birth
• Must be taken as a block (1 or 2 consecutive weeks)
• Conditions: 26 weeks of employment + £123/wk earnings
• 2024 reform: option to split the 2 weeks

Shared Parental Leave (SPL)

Allows parents to share up to 50 weeks of leave after birth:

• 37 paid weeks (Shared Parental Pay = £184.03/wk or 90% salary)
• Mother must “give up” part of her SMP
• Very rarely used in practice (uptake ~2%)
• Upcoming reform announced to simplify

Tax-Free Childcare and 30 hours free

2 main schemes for childcare:

• Tax-Free Childcare: for every £1 parents deposit, the State adds 20p (max £2,000/year/child, £4,000 if disabled)
• 30 hours free childcare: 30h/wk free childcare for ages 3–4 (working parents)
• 2024 reform: progressively extended to 9 months–3 years (April 2024 – Sept 2025 rollout)
• Conditions: each parent must earn £9,518–£100,000/year

Official sources

• GOV.UK — Child Benefit
• GOV.UK — Universal Credit
• GOV.UK — Maternity Pay
• Childcare Choices