Tue, 18 Nov 2025

Tue, 18 Nov 2025 HMRC's suspension of child benefit payments 'cavalier' - MPs

HM Revenue & Customs Tax office apologised after an error in its checks led to payments being stopped.

* HMRC took a "cavalier" approach by stopping child benefit payments from thousands of claimants without checking if they had permanently relocated out of the UK.
* Payments were stopped when HMRC ceased cross-checking travel records with tax data to prove eligibility for the benefit.
* The Treasury Select Committee chair, Dame Meg Hillier, said HMRC made a "costly error" by dropping key assessments.
* HMRC boss John-Paul Marks apologized and admitted that several changes had been made to improve the process, including reinstating employment checks.
* Around 15% of claimants who were flagged as potentially ineligible due to their travel history were confirmed to still qualify for child benefit.
* The issue affected around 3,600 claimants out of 23,794.
* HMRC is re-launching its pilot programme using Home Office data on passengers departing the UK and other tax payments.
* Claimants will now be given at least one month to provide proof they are eligible for the benefit if travel data suggests they are no longer in the UK.
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