Child Benefit freeze and cap
In April 2011 Child Benefit was frozen – with the freeze lasting until April 2014 instead of rising with inflation.
In 2014/2015 and 2015/2016 Child Benefit will be capped at a 1 per cent rise - below the projected rate of inflation.
From January 2013, the UK Government will start the process of withdrawing Child Benefit from households with higher incomes (£50,000 or over).
A report by the TUC in December 2012 called ‘Child Benefit: a bad case of neglect’ estimates that as a result of the benefit not rising in line with inflation, a two-child family lost £80.60 in 2011/2012; £183.56 in 2012/2013; and will lose £234 in 2013/2014; £268.32 in 2014/2015 and £313.04 in 2015/2016 – a total loss of £1,079.52.
A parent can claim £20.30 a week for an eldest or only child and £13.40 a week for each of their other children. They can claim until the child is 16 (or while the child stays in school/education up until they are 19). A family with two children receives £33.70 per week or £1,752.40 per year.
Monday, December 30, 2013