Thousands of people who claimed Child Benefit before 2000 may have been affected by an administrative issue that could impact their State Pension. HM Revenue and Customs (HMRC) has issued a new alert, urging certain claimants to review their records, as some could be entitled to significant back payments.
Missing Pension Credits Due to Historical Oversight
Before 2000, Child Benefit applications did not require a National Insurance (NI) number, meaning HRP credits were not always correctly recorded. HRP was a scheme that reduced the number of qualifying years needed for a full state pension for those who took time off work to care for children or disabled individuals.
In 2010, HRP was replaced by National Insurance credits, but discrepancies in historical records have persisted.
HMRC has acknowledged the issue and is actively working to identify those affected. More than 180,000 pensioners may have been underpaid, with an estimated 43,000 of them having since passed away. In such cases, their families may still be able to claim the owed amounts.
Who Is Eligible to Claim Missing Credits?
Individuals who claimed Child Benefit before May 2000 are urged to check their National Insurance records for missing HRP credits. To be eligible for a full year of HRP between 1978 and 2010, the following criteria must be met :
- The claimant must have received Child Benefit in their own name (not a spouse or partner’s name).
- Their child must have been under 16 for the entire financial year in question.
- They must not have been paying the married woman’s “reduced stamp”.
Those who reached State Pension age after April 5, 2010, should see their HRP credits listed as complete years on their National Insurance record. If credits are missing, it may indicate an underpayment.
How to Check and Claim Missing Payments
HMRC has provided an online eligibility checker on GOV.UK, allowing claimants to verify their entitlement and submit claims where applicable. Individuals who suspect they have been affected are advised to :
- Check their State Pension forecast and National Insurance record via GOV.UK.
- Use the HRP eligibility checker to determine whether they qualify for backdated credits.
- Submit a claim through the government website or contact HMRC directly for further assistance.
The DWP and HMRC are proactively contacting those affected, but individuals are encouraged to check their own records to ensure they are not missing out on potential payments.
Government Response and Ongoing Efforts
This issue follows a broader review of State Pension underpayments, which has impacted various groups, including widows, divorcees, and those who were wrongly denied pension increases. The government has pledged to correct errors and ensure that pensioners receive the entitlements they are due.
The government plans to repay over £1 billion to those affected by the issue, aiming to correct past mistakes. While efforts are in motion to resolve the situation, campaigners emphasize the need for greater transparency to prevent similar errors in the future.
Individuals who suspect they might be impacted are encouraged to review their records and submit a claim promptly, as this could result in a notable increase in their pension entitlements.
