Welcome to the Financial Times Lexicon

Browse thousands of words and phrases selected by Financial Times editors and suggest new terms for the glossary.

 

Term of the day

child benefit higher income tax charge

Child benefit, which historically had been a universal benefit, is now withdrawn gradually from higher earners. This is done through an income tax charge and applies to any household where a member of that household has an annual income over £50,000. The benefit is withdrawn at 1% for every £100 earned over £50,000 and so those earning £60,000 or more lose the benefit altogether.