UK Child Benefit Scheme Suspended for Thousands, Even Those Who Never Left the Country
HM Revenue & Customs halts payments to 23,500 families after travel-data glitch flags claimants as emigrants
A sweeping review by the UK tax authority has led to the suspension of child benefit payments for some 23,500 families, many of whom remain resident and working in Britain despite being flagged as emigrants.
The error stems from a concerted government drive to detect overseas fraud by cross-referencing benefit claims with travel data.
One claimant, Lisa Morris-Almond, booked a flight from London to Oslo for a wedding in April 2024 but did not travel.
Three weeks later the payment for her child benefit failed to arrive.
Upon contacting the helpline she was told the records indicated she had left the UK and not returned.
She protested that she was a UK resident and taxpayer but was told simply: “the records show you didn’t come back.”
The tax department, HM Revenue & Customs (HMRC), confirmed that the suspension of benefits had followed its use of travel data to identify potential emigration, yet in many cases the individuals had not left the country or their return had not been properly recorded.
Among the errors are families who used Dublin airport, Eurostar or other routes not logged correctly by the Home Office, with Northern Irish households disproportionately affected when return data failed to register.
In light of the mounting backlash, HMRC has apologised and announced that it will pause the automatic suspension of payments pending inquiry, stating it will first verify employment and tax data (PAYE) before cutting benefits.
A hotline has been set up and families affected are being asked to respond to simplified questionnaires rather than the earlier burdensome process of 73 detailed questions.
The crackdown originates from an initiative launched in August 2025, aimed at saving up to £350 million over five years by targeting claimants who allegedly live abroad but continue to receive payments.
While the government emphasised its duty to protect taxpayer funds, the implementation has been criticised for casting suspicion on law-abiding families and exposing weaknesses in cross-border and internal travel data systems.
As the review proceeds, HMRC says it has already reinstated payments to hundreds of affected claimants and will undertake a thorough review of its processes before reissuing suspensions.
Families awaiting clarity are urged to contact the dedicated helpline to restore benefits and avoid undue hardship.