UK Child Benefit Rise 2025 – New Rates for First and Second Children 

UK Child Benefit Rise 2025: The UK government has announced a welcome boost for families starting May 2025 through an increase in Child Benefit rates. This adjustment comes as part of broader efforts by HM Treasury to help households cope with the rising cost of living. With inflation impacting everyday expenses, this benefit increase is a timely step toward providing more meaningful financial support to parents raising children.

The UK Child Benefit Rise 2025 applies to both new and existing claims and introduces higher weekly payments for both the first and subsequent children. Families struggling with growing costs for essentials like food, housing, and utilities will benefit from this uplift. This article breaks down the new rates, who’s eligible, how to apply, and what it all means for UK households in the year ahead.

UK Child Benefit Rise 2025 – New Rates and Key Details

Effective from April 6, 2025, the UK Child Benefit rates have been updated to offer greater financial support to families. These new rates are now reflected in the May 2025 payment cycles. The increase is part of the government’s broader effort to ease the financial burden on households, particularly those with multiple children or on lower incomes. With rising living costs impacting everyday budgets, the updated benefit provides additional help for parents managing essential expenses. The revised rates apply to both new and existing claims, ensuring wider coverage and timely assistance for eligible families across the UK.

UK Child Benefit Rise 2025– Overview Table

Category	Weekly Rate (2024)	New Weekly Rate (2025)	Annual Increase
First Child	£24.00	£25.60	£84.80
Each Additional Child	£15.90	£17.00	£57.20

New Child Benefit Rates – May 2025

From May 2025, families now receive £25.60 per week for their first child and £17.00 per week for every additional child. This increase results in an annual uplift of £84.80 for the first child and £57.20 for each child after that.

While modest, these changes are especially helpful for low- to middle-income families who are often hit hardest by inflation. For a family with two children, this means receiving over £140 extra per year, which can go toward school supplies, food, or utilities.

Eligibility and Income Thresholds

Child Benefit remains a universal benefit, meaning that anyone responsible for a child under 16 years of age (or under 20 if they’re in approved education or training) can apply. However, how much of the benefit you keep depends on your income.

If your adjusted net income exceeds £60,000, you may face the High Income Child Benefit Charge (HICBC). Here’s how it works:

• Between £60,000 and £80,000: You may be required to pay back some of your Child Benefit through your Self Assessment tax return.
  
• Above £80,000: You will likely have to repay the full amount.
  

Even if you opt out of receiving payments to avoid the charge, it’s still recommended to register your claim. Doing so can help you earn National Insurance credits, which contribute toward your State Pension.

Claim Process and Payment Timelines

Applying for Child Benefit is simple and accessible. Here’s how:

• Apply online through the official GOV.UK portal, or
  
• Send a completed CH2 form by post.
  

New parents are advised to register their child’s birth and submit the claim early to avoid delays. The first payment usually arrives within 8 to 12 weeks, while all future payments are made every four weeks into your bank account.

Important Notes:

• Employment status or savings do not affect your eligibility.
  
• Only one person per child can claim, so agreement is required in shared custody arrangements.
  

Impact on Family Budgets and Wider Implications

The UK Child Benefit Rise 2025 couldn’t come at a better time. Many families are still navigating financial challenges from rising energy costs, increasing rent, and food inflation. The boost, though relatively small, offers essential support to cover a part of these everyday expenses.

This change also reinforces the government’s broader cost-of-living strategy, which includes other support programs like energy rebates and cost-of-living payments. While some argue the benefit increase doesn’t keep up with inflation, others see it as a positive step toward improving financial security for children and families.

Indirect Benefits of Child Benefit

Receiving Child Benefit can also unlock other forms of financial assistance, including:

• Healthy Start vouchers for groceries and essentials
  
• Free school meals for children in eligible households
  
• Additional local authority support, depending on your council
  

These indirect benefits are often tied to your Child Benefit registration, which is why it’s important to claim—even if you don’t receive the actual payments due to the HICBC.

Final Thought

The UK Child Benefit Rise 2025 is a small but important change for families. It reflects the government’s ongoing efforts to provide targeted relief amid financial uncertainty. While higher-income families may need to consider the tax implications, for most households, the updated rates will bring welcome relief and help ease the costs of raising children.

If you’re a parent or guardian, make sure your details are updated and that you’ve filed your claim. This ensures not just direct payments, but access to a range of connected support services. In a time when every pound counts, these updates could make a real difference.

FAQs – UK Child Benefit Rise 2025