Anyone who had a child between 1978 and 2010 ‘could be owed £5,000’

A financial expert has claimed that anyone who had a baby across a 32-year period could be in line for a cash windfall.

BBC Radio 4’s Money Box journalist Dan Whitworth recently spoke about how a mix-up in the government could see parents potentially earn £5,000, if they had a baby between 1978 and 2010.

Fertility rates fell to their lowest ever point in the UK back in 2024, with many young folks preferring pets to kids due to rising living costs and work commitments.

But for those fortunate enough to have welcomed a little bundle of joy into the world before the days of constant financial pressures and all-time-high geopolitical tensions, you might just be in line for a decent bonus.

Whitworth explained that a HMRC mix-up regarding Home Responsibilities Protection (HRP) could see more than £1.2 billion owed to parents across Britain.

HRP was introduced as a way of protecting parents and carers who couldn't build up National Insurance contributions as they were either focused on raising their kids or caring for someone who was sick or disabled.

But in 2023, the Department for Work Pensions launched a correction scheme after many were left short-changed.

You might just be owed a decent whack (Getty Stock)

Speaking on Morning Live, Mr Whitworth said: “This is specifically something to do with home responsibilities protection or HRP. And it doesn’t really matter what it’s called, too much. What matters is when people, mainly women, took time out of the workplace to care for children and claim child benefit, they should have had this HRP added to their national insurance records so that when they came to retire, they didn’t lose out on their state pension because they weren’t working.

“They were actually raising children, which is obviously good for everybody, right? But essentially, what it does is when you have HRP added to your record. It brings down the number of years you need to qualify for a full state pension. Now, you can get HRP. So, there are certain criteria you have to fill. So, you can get HRP if you’re claiming child benefit for under-16s.

“And this was between 1978 and 2010. So, if this is you claiming child benefit for under 16s, between 1978 and 2010, if you’re getting income support for caring for sick or disabled people, or if you are caring for a sick or disabled person who is claiming certain benefits. So if you meet any of those criteria that you can see on your screen now, this could be worth you claiming for this money.”

So, if you were sharing the care of a child under 16 with a partner who claimed HRP instead of you, caring for a sick or disabled person, working as a foster carer or even caring for a friend or family member's child (Scotland only), then you are eligible to apply to HMRC.

Dan Whitworth explained why so much money could be owed (BBC)

During the show, Mr Whitworth shared a 'life-changing' example where a woman in the 1980s was caring for a child for 13 years and had her pension underpaid as a result, allowing her to claim a massive £35,500, while her weekly pension also increased from £120 to £180.

The financial expert said: “It’s the most remarkable story. I’ve been working with Money Stories for about seven years and this is one of the most standout I’ve ever come across. Watching Morning Live prompted her to apply for her underpaid state pension Just a few days ago, I received an email from HMRC sent to her on her behalf. £35,000.

“And it’s not just that obviously life-changing sum of money that she was owed, but also going forward her state pension now is going to be an extra £60 per week, which she should always have been getting paid by the way, which she wasn’t. But £60 week. You times that by month, you times that by year."

If you think you might be affected by HRP underpayments, you can call HMRC on 0300 200 3500 or fill in a form on the government's online eligibility checker.