Child Benefit for higher rate taxpayers

At the Conservative Party Conference in October 2010 the Chancellor announced that from January 2013 Child Benefit would be withdrawn from families with a higher rate taxpayer. This note looks at the background to the announcement and at reactions to it. Revised proposals for a “High Income Child Benefit Charge” were presented in Budget 2012 under which Child Benefit would instead be clawed back from families where the highest earner had an income in excess of £50,000. Further details can be found in Library briefing SN06299, Child Benefit for higher income families.