Commons Sense

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High-income Child Benefit Charge 2024-03-19

2024-03-19

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Response quality

Questions & Answers

Q1 Direct Answer
Karl McCartney
▸ Context
The question arises from the proposed changes to the high-income child benefit charge threshold.
What assessment has been made of the impact of raising the high-income child benefit charge threshold on household incomes?
Nigel Huddleston
The Government will raise the point at which child benefit is fully withdrawn to £80,000 from £60,000 and raise the high-income child benefit charge threshold to £60,000 from £50,000 from 6 April 2024. This change means that almost half a million hard-working families will gain an average of £1,260 towards the cost of raising their children.
▸ Assessment & feedback
Response accuracy
Q2 Partial Answer
Karl McCartney
▸ Context
The question follows from previous changes announced by the government regarding high-income child benefit charge thresholds.
Will my hon. Friend confirm when the formal consultation on basing child benefit on household income rather than individual income will commence?
Nigel Huddleston
The Government will launch a consultation in due course on how to end this unfairness by administering the high-income child benefit charge (HICBC) on a household rather than an individual basis. The reform would require significant changes to the tax system, but the goal is to administer HICBC on a household basis by April 2026.
▸ Assessment & feedback
Timeline for consultation and exact nature of reforms required
In Due Course
Response accuracy
Q3 Partial Answer
Jim Shannon DUP
Strangford
▸ Context
The concern is about how proposed changes to child benefit will affect families' financial stability.
Is it the Minister's intention to ensure that those who have questions, difficulties or concerns have their concerns and wishes taken on board?
Nigel Huddleston
I am sure that his views and those of his constituents will be warmly welcomed in the consultation. The complexities involved necessitate thorough consideration through this process.
▸ Assessment & feedback
Specific measures to address public concerns during consultations
Warmly Welcomed
Response accuracy