Child benefit

From Wikipedia, the free encyclopedia

Child benefit (or family allowance, children's allowance) is a social security payment payable given to the parents or guardians of children. Child benefit is means-tested in some countries.

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In the UK, child benefit is administered by the Revenue and Customs Child Benefit Office in Washington. As of April 2006, £17.45 per week is paid for the eldest child (including the eldest of a multiple birth) and £11.70 per week is paid for the any other children. The same amount is paid without reference to earnings or savings. More than 80% of children are in families also eligible for child tax credit.

The system was first implemented in August 1946 as "family allowances" under the Family Allowances Act 1945, at a rate of 5s per week per child in a family, except for the eldest. This was raised from September 1952, by the Family Allowances and National Insurance Act 1952, to 8s, and from October 1956, by the Family Allowances Act and National Insurance Act 1956, to 8s for the second child with 10s for the third and subsequent children. By 1955, some 5,000,000 allowances were being paid, to about 3,250,000 families.[1]

It was modified in 1977, with the payments being termed "child benefit" and given to the eldest child as well as the younger ones; by 1979 it was worth £4 per child per week. In 1991, the system was further altered, with a higher payment now given for the first child than for their younger siblings.[2]

In Australia the system works slightly differently, with a "Youth Allowance" payment being made to children over the age of 16 and a "parenting payment" being made for children under the age of 16.

  1. ^ Whitaker's Almanack: for the year 1958, p. 1127. J. Whitaker & Sons, London, 1957
  2. ^ Call to boost child benefit, Press Association, 2006

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