Child Tax Credit will increase in 2023 by 10.1% to help tackle the cost of living crisis. See the table below for more information about how Child Tax Credit claimants will be affected by the payment increases.
The government announced the payment increases in response to the cost of living crisis in the Autumn Statement 2022. The increases will help tackle the impact of inflation on the cost of living.
2023 Child Tax Credit Increase
| Child Tax Credit | Payment Changes |
|---|---|
| Family element | Not Increased (£545 since introduction of current tax credit system in 2003) |
| Child element | Increased by 10.1% |
| Disabled child rate | Increased by 10.1% |
| Severely disabled child rate | Increased by 10.1% |
| Income thresholds and withdrawal rates | |
| Income threshold | Increased by 10.1% |
| Withdrawal rate (per cent) | Not Increased |
| Threshold for those entitled to Child Tax Credit onl | Increased by 10.1% |
| Income rise disregard | Not Increased |
| Income fall disregard | Not Increased |
| Child Benefit | Increased by 10.1% |
| Guardian's Allowance | Increased by 10.1% |