Child benefit change blow to pensions
TENS of thousands of mums are missing out on pension credits due to child benefit changes, an ex-pensions minister says.
And Steve Webb, ex-Lib Dem MP, said the figures, from HM Revenue and Customs, had doubled to around 50,000 in two years.
He warned: “This risks setting back equality for mothers by a generation.”
Since 2013, HMRC taxes child benefit for parents earning more than £50,000.
Insurer Royal London found many mums with young children stopped claiming it as a result. But it means they miss vital National Insurance credits.
Royal London found mums could lose £231 a year or thousands over retirement. Mr Webb said the system “no longer worked for families”.