NIM41330 - Home Responsibilities Protection: what was HRP and who qualified for it: HRP and entitlement to Child Benefit

Regulation 2(2)(a), 2(4A) and 2(4B) of the Social Security Pensions (Home Responsibilities) Regulations 1994 (SI 1994/704) (the 1994 regulations)

Sections 141 to 147 of the Social Security Contributions and Benefits Act 1992 (SSCBA 1992)

A person is entitled to HRP for any tax years, between 1978 and 2010, throughout which Child Benefit “awarded” to them was payable in respect of a child under age 16.

Who is “awarded” Child Benefit

Only one member of a couple can claim Child Benefit for a child. The person “awarded” Child Benefit is usually the person who makes the claim and to whom Child Benefit Office address any correspondence.

Where Child Benefit is paid into a couple’s joint bank account, HMRC will award HRP to the individual who was “awarded” Child Benefit.

Child Benefit paid from the first Monday in the tax year

Child Benefit is normally payable from the first Monday after a child is born.

Where a child is born shortly before the end of a tax year, Child Benefit may be payable from the first Monday of the next tax year (i.e. after 6 April), meaning that Child Benefit is not paid throughout that tax year therefore HMRC awards HRP from the following tax year.

Regulation 2(4A) of the 1994 regulations resolved this anomaly for those who reach State Pension age on or after 6 April 2002. It provides that Child Benefit is treated as if it were payable from the beginning of the tax year so that the person is entitled to HRP for that year. This regulation applies to tax years 1978 to 2010.

Transferring Child Benefit

A person can make an application at any time to change the individual to whom Child Benefit is awarded. This also changed the individual who is entitled to receive HRP.

Prior to the 2004-05 tax year, this change had to be made precisely from the beginning of a tax year. This was to avoid both individuals losing HRP entitlement for that year because neither of them was awarded Child Benefit for the complete tax year.

From 2004-05 to 2009-10, if they made the change within 3 months of the beginning of the tax year, the new claimant was treated as being paid Child Benefit for HRP purposes from the beginning of the tax year. These provisions are set out at regulation 2(4B) of the 1994 regulations.

NIM41331 gives details of transferring HRP for those who reach State Pension age on or after 6 April 2008.