The UK Child Tax Credit has long supported low-income families with the cost of raising children. However, from 5 September 2025, this benefit will officially end, with payments being replaced by Universal Credit or Pension Credit depending on household circumstances.
Families currently relying on Child Tax Credit must prepare for these changes and explore alternatives to ensure continued financial support.
Overview of Child Tax Credit 2025
The following table summarises the main details for families receiving Child Tax Credit in 2025:
| Detail | Information |
|---|---|
| Scheme Name | Child Tax Credit 2025 |
| End Date | 5 September 2025 |
| Replacement Benefit | Universal Credit / Pension Credit |
| Payment Method | Direct bank transfer |
| Eligibility | Low-income families with children |
| Official Transition | Letter notification from HMRC/DWP |
Who Can Claim Child Tax Credit in 2025?
To qualify for Child Tax Credit, you must:
- Be responsible for at least one child under 16, or under 20 if in approved education/training.
- Be on a low household income.
- Already claim Working Tax Credit, as new claims for Child Tax Credit are not accepted.
If you do not meet these criteria, you must apply for Universal Credit, which provides similar financial support.
Payment Amounts in 2025
The amount of Child Tax Credit depends on the number of children and circumstances:
- Children born before 6 September 2017: £3,455 per year per child until age 16.
- Children born after 6 September 2017: Only the first two children qualify, unless exceptions apply.
- Multiple births: Families with twins or triplets may be eligible for additional support.
Child Benefit Payment Rates from September 2025
From September 2025, Child Benefit payments will continue, with updated weekly rates:
| Child | Weekly Rate |
|---|---|
| Eldest / only child | £26.05 |
| Each additional child | £17.25 |
Example:
- Eldest child: £26.05
- Second child: £17.25
- Third child: £17.25
- Total weekly benefit = £60.55
Payments are made weekly or every four weeks directly into the claimant’s bank account.
Payment Dates
- Regular payments continue until 5 September 2025, after which Universal Credit or Pension Credit will replace them.
- If your payment date falls on a bank holiday, the amount may be deposited earlier.
- Families will receive a notification letter to confirm eligibility and transition timelines.
Eligibility Criteria for 2025
To qualify for Child Benefit or transition to Universal Credit/Pension Credit, you must meet:
- Child age requirement: Under 16 (or under 20 if in education/training).
- Residency requirement: The child must live in the UK.
- One claim per child: Only one person can claim per child.
Special cases: Foster parents, legal guardians, or grandparents caring for a child may also qualify under specific rules.
Alternatives to Child Tax Credit
- Universal Credit: For families with children who do not meet the Child Tax Credit criteria.
- Pension Credit: For households where both partners are of State Pension age.
These benefits are structured to ensure that families continue to receive necessary financial support even after Child Tax Credit ends.
The end of Child Tax Credit on 5 September 2025 marks a significant shift in the UK’s welfare system. Families must prepare by understanding eligibility rules, exploring Universal Credit or Pension Credit alternatives, and staying informed about payment dates and benefit amounts.
By planning ahead, parents and guardians can ensure continued financial support for their children without disruption.
FAQs
When does the UK Child Tax Credit end?
The Child Tax Credit officially ends on 5 September 2025, after which no further payments will be made.
Who is eligible for Child Tax Credit in 2025?
Low-income families already on Working Tax Credit, responsible for at least one child under 16 (or 20 in education/training).
What replaces Child Tax Credit after 2025?
Families will transition to Universal Credit or, if of State Pension age, may be eligible for Pension Credit instead.