Definition of child benefit
Money provided by the UK government to parents of children who have not yet reached 16, or 19 if they remain in full-time education.
child benefit in the news
On January 7 2013, the UK government removed the previously universal child benefit from families where one or more parents were classified as a higher earner. The change affects any household with children with a parent earning more than £50,000. A taper applies to the benefit so that the benefit will be taken away completely once earnings hit £60,000 after approved pensions deductions. The new policy will see hundreds of thousands of parents forced into the self-assessment tax system. It was also criticised because a household with two parents each earning just under £50,000 would keep all their benefit, while a single parent earning more than £60,000 would lose all of his/her child benefit.