HMRC Expands Child Benefit Eligibility for Families of Teens
From 1 September 2025, HMRC has introduced new rules making more families eligible for Child Benefit. Parents of 16 to 19-year-olds who are home educated or unable to attend college for at least 12 hours a week due to illness or disability are now entitled to claim, in what is being described as a major step toward inclusivity.
The move ensures that households supporting teenagers outside mainstream education no longer miss out on vital financial help.
Myrtle Lloyd, HMRC’s chief customer officer, explained: “Teenagers can be expensive and Child Benefit is an important source of income for your household. As soon as you know what your teen is doing in September, don’t miss out. You can extend your claim in minutes through the HMRC app or online to ensure your payments continue.”
HMRC is urging families to update their claims promptly to avoid any payment delays.
Who Now Qualifies for Child Benefit?
Child Benefit was previously tied mainly to teenagers in full-time education or approved training. Now, parents in two additional situations can continue receiving support
- Home-educated teenagers aged 16–19
- Teens unable to attend college due to illness or disability, where attendance would otherwise be expected for at least 12 hours weekly
This marks a significant expansion of eligibility, addressing long-standing gaps for families with children learning outside traditional classroom settings or facing health challenges. For full eligibility details and claim instructions, visit the official HMRC Child Benefit guidance.
High Income Child Benefit Charge (HICBC) Explained
While eligibility has widened, the High Income Child Benefit Charge (HICBC) rules still apply. If either parent’s income is £60,000 or more, part or all of the Child Benefit may need to be repaid.
- The repayment rate is 1% of the total Child Benefit for every £200 of income above £60,000.
- At £80,000 or more, the full amount must be repaid.
The higher earner in the household is responsible for settling the charge.
Parents can use HMRC’s online Child Benefit tax calculator to estimate both entitlement and repayment amounts, helping them plan ahead. For many households, Child Benefit interacts with other tax responsibilities. Freelancers, in particular, should review our guide on how to pay tax as a freelancer in the UK to stay compliant across different income streams.
Managing Child Benefit Online
HMRC has made it easier for parents to manage their claims digitally. Through the HMRC app or online portal, families can:
- View payment history and claim details
- Add additional children to their claim
- Update household or personal information
- Access proof of entitlement instantly
Those who previously opted out of receiving Child Benefit often due to income thresholds can now opt back in quickly online and restart payments without lengthy delays.
Payment Options for High Earners
Families who fall under the HICBC currently settle the charge via Self Assessment tax returns. HMRC has indicated that new digital payment options through PAYE tax codes will be available in future to simplify the process, though exact timings have not yet been confirmed.
This planned update aims to reduce administrative burdens for parents while still giving them the flexibility to choose Self Assessment if preferred. Parents who fall under the High Income Child Benefit Charge currently settle via Self Assessment. If you’re unsure about filing obligations, see our guide on what happens if you don’t register for Self Assessment.
How Much is Child Benefit Worth?
For the 2025/26 tax year, Child Benefit rates remain an important contribution to household budgets. Parents can claim:
- £26.05 per week for the eldest or only child
- £17.25 per week for each additional child
This means a family with two children can receive over £2,200 per year if they remain eligible. For households balancing rising living costs, this regular payment can make a meaningful difference.
Even for higher-income families who may have to repay some or all of it through the High Income Child Benefit Charge, HMRC advises continuing to claim. Receiving the benefit ensures parents still build National Insurance credits, which count towards their future State Pension.
Why the 1st September 2025 Changes Matter
The expansion of eligibility reflects recognition that not all young people are in mainstream education. Families supporting home-educated teenagers or caring for teens unable to study due to illness or disability will now have access to the same financial support as others.
With rising household costs, the change provides welcome relief. As Myrtle Lloyd noted, Child Benefit remains a crucial tool in helping parents manage the financial challenges of raising teenagers.
Final Summary
HMRC expands Child Benefit rules from September 2025
The 1st September 2025 Child Benefit changes mark a major policy shift designed to support a broader range of families. Parents of 16 to 19-year-olds who are home educated or unable to attend college due to illness or disability are now eligible to continue receiving payments. While high earners remain subject to the High Income Child Benefit Charge, HMRC is making it easier to manage claims and repayments digitally. Families are being urged to update claims promptly to avoid missed payments and take advantage of the new rules.
