The rising costs of living are having an impact on families across the country - and this can be particularly hard if you have children or are going to become a parent soon.
However, there are a number of ways parents can get help to ease their financial pressures. People can apply for tax credits, benefits and grants, through either the DWP or HMRC, which could provide some extra cash for families.
Here we have listed some of the ways support is available, how much cash you are likely to get and how you can make a claim. We have also given eligibility criteria for the schemes and provided links for more information if you wish to apply for them.
Read More: More cash needed for school breakfasts as 'some children starting class too hungry to learn'
Financial help if you have children
Maternity Allowance
Maternity Allowance is a payment you can get when you take time off to have a baby. You could get it if you:
- are employed but cannot get Statutory Maternity Pay (SMP)
- are self-employed
- have recently stopped working
- take part in unpaid work for the business of your spouse or civil partner
You can get Maternity Allowance for up to 39 weeks and you can claim it as soon as you’ve been pregnant for 26 weeks. Payments can start up to 11 weeks before your baby is due. Please note that any money you get can affect your other benefits.
You can use the maternity entitlement calculator to check your eligibility and work out how much you could get.
If you’re employed or have recently stopped working
You’ll get £156.66 a week or 90% of your average weekly earnings (whichever is less) for 39 weeks if you’re employed or have recently stopped working.
If you’re self-employed
You can get between £27 to £156.66 a week for 39 weeks if you’re self-employed. How much you get depends on how many Class 2 National Insurance contributions you’ve made in the 66 weeks before your baby is due.
More information on how to claim is available here.
Sure Start Maternity Grant
You could get a one-off payment of £500 to help towards the costs of having a child. This is known as a Sure Start Maternity Grant.
You usually qualify for the grant if both of the following apply:
- you’re expecting your first child, or you’re expecting a multiple birth (such as twins) and have children already
- you or your partner already get certain benefits including Income Support, income-based Jobseeker’s Allowance, income-related Employment and Support Allowance, Pension Credit, Child Tax Credit, Working Tax Credit that includes a disability or severe disability element, Universal Credit.
You must claim the grant within 11 weeks of the baby’s due date or within six months after the baby’s birth.
You do not have to pay the grant back and it will not affect your other benefits or tax credits. Please note that you may not get a grant if you already have children.
If you already have children under 16
You can only get a grant if at least one of the following applies:
- you’re expecting a multiple birth (such as twins)
- the child you’re caring for is someone else’s
- you’ve been granted refugee status or humanitarian protection and you have a child or children from before you arrived in the UK
To claim this grant, you’ll need to fill in the Sure Start Maternity Grant form. If you need any help with your claim, contact the Sure Start Maternity Grant helpline on 0800 169 0140. More details are available here.
Child Benefit
You get Child Benefit if you’re responsible for bringing up a child who is:
- under 16
- under 20 if they stay in approved education or training
Only one person can get Child Benefit for a child. It’s paid every four weeks and there’s no limit to how many children you can claim for.
You may have to pay back some of your Child Benefit in tax if your (or your partner’s) individual income is over £50,000. This is known as the High Income Child Benefit Tax Charge.
What you'll get
There are two Child Benefit rates. The current rates per week are:
- Eldest or only child - £21.80
- Additional children - £14.45
Note: The benefit cap may affect the total amount of benefits you get, including Child Benefit. Here are details on how to make a claim.
Child Tax Credit
You can only make a claim for Child Tax Credit if you already get Working Tax Credit. If you cannot apply for Child Tax Credit, you can apply for Universal Credit instead. Child Tax Credit will not affect your Child Benefit.
The amount you can get depends on how many children you’ve got and whether you’re:
- making a new claim for Child Tax Credit
- already claiming Child Tax Credit
If you're making a new claim
The amount you could get depends on when your children were born.
If all your children were born before 6 April 2017
You could get the ‘child element’ of Child Tax Credit for all of your children. You’ll also get the basic amount, known as the ‘family element’.
If one or more of your children were born on or after 6 April 2017
You could get the child element of Child Tax Credit for up to two children. You might get the child element for more children if exceptions apply. You’ll only get the family element if at least one of your children was born before 6 April 2017.
Child Tax Credit rates for 2022 to 2023 - Yearly amount
- The basic amount (this is known as ‘the family element’) - Up to £545
- For each child (this is known as ‘the child element’) - Up to £2,935
- For each disabled child - Up to £3,545 (on top of the child element)
- For each severely disabled child - Up to £1,430 (on top of the child element and the disabled child element)
Here is more information on how to make a claim. And here are details about Working Tax Credit.
How are rising costs affecting your family? Let us know in the comments below
Disability Living Allowance for children
Disability Living Allowance (DLA) for children may help with the extra costs of looking after a child who:
- is under 16
- has difficulties walking or needs much more looking after than a child of the same age who does not have a disability
They will need to meet all the eligibility requirements. The DLA rate is between £24.45 and £156.90 a week and depends on the level of help the child needs.
This is a tax-free benefit made up of two components - care component and mobility component. The child might qualify for one or both. Here is more information.
Childcare costs
Use this calculator to find out how much you could get towards approved childcare, including:
- free childcare for children aged between two and four
- help with childcare costs if your child is under 16 (or under 17 and disabled)
You can use the link above to check if you are eligible for up to 30 free hours of childcare a week and Tax-Free Childcare for each child.
Free school meals
Your child may be able to get free school meals if you get any of the following:
- Income Support
- income-based Jobseeker’s Allowance
- income-related Employment and Support Allowance
- support under Part VI of the Immigration and Asylum Act 1999
- the guaranteed element of Pension Credit
- Child Tax Credit (provided you’re not also entitled to Working Tax Credit and have an annual gross income of no more than £16,190)
- Working Tax Credit run-on - paid for 4 weeks after you stop qualifying for Working Tax Credit
- Universal Credit - if you apply on or after 1 April 2018 your household income must be less than £7,400 a year (after tax and not including any benefits you get)
Find out how to apply on your local authority’s website. Here is more information.
