HMRC Begins Review of Thousands of Suspended Child Benefit Payments

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HMRC Begins Review of Thousands of Suspended Child Benefit Payments

The HMRC has launched a review of thousands of suspended child benefit payments amid rising complaints from families. As part of a crackdown on benefit fraud, the HMRC has implemented changes to the verification process for child benefit claims. This initiative aims to save an estimated £350 million over five years.

Review of Suspended Child Benefit Payments

A government spokesperson acknowledged the situation, expressing regret for the incorrect suspensions. They stated, “We’re very sorry to those whose payments have been suspended incorrectly.” The spokesperson assured that improvements have been made to allow customers one month to respond before any benefits are halted.

New Verification Process

The revised system enables HMRC to cross-reference its records with international travel data from the Home Office. This comparison has led to numerous payments being suspended for families, as HMRC assesses travel history and residency.

  • Government aims to prevent child benefit fraud
  • Targeted savings of £350 million over five years
  • Cross-referencing HMRC records with travel data initiated

However, many families have contested these suspensions, as they claim to have returned from short holidays. One notable case involves Eve Craven, who took a five-day trip to New York with her son. Approximately 18 months later, she received a notice that her child benefit was suspended due to a lack of travel records showing her return.

Impact on Families

Craven described the experience as challenging, saying it placed an unfair burden on her to provide documentation of her return to the UK. “It’s just a very big ask for something that they’ve messed up on, and they should have been able to sort out themselves,” she commented.

Ultimately, the HMRC has reinstated her child benefit, compensating for the missed payments retroactively. This reflects the ongoing struggle between regulating government benefits and addressing the repercussions on families.

The HMRC’s review highlights the need for a balanced approach to ensure that support systems remain effective while minimizing errors that impact vulnerable families.