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‘Flawed’ HMRC system stops hundreds of NI families’ child benefit

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‘Flawed’ HMRC system stops hundreds of NI families’ child benefit


PA Media Dáire Hughes speaking at a microphone. He has dark hair and is wearing glasses. He has a navy suit and black tie.PA Media

Sinn Féin MP Dáire Hughes, who is representing 14 of the families affected, called the system “flawed”

Hundreds of families have had their child benefit payments stopped because they returned to Northern Ireland via Dublin airport.

It follows the introduction of a new government anti-fraud system designed to track those who leave the country but do not come back after eight weeks, raising a red flag at HMRC for possible emigration.

Sinn Féin MP Dáire Hughes, who is representing 14 of the families affected, called the system “flawed”.

As first reported in The Detail, HMRC have apologised for the mistake and said they were “working at pace” to reinstate claims so families are “not left out of pocket”.

PA Media Three Bank of England bank notes. One is a blue five pound note with King Charles III on it, in the middle is an orange ten pound note with King Charles III on it and lastly is a purple twenty pound note with King Charles III on it.PA Media

HMRC have said they have reinstated 134 payments

The government crackdown on alleged benefit fraud compares HMRC records with Home Office international travel data.

That means families returning to Northern Ireland through Dublin Airport were mistakenly flagged as having gone abroad and were therefore fraudulently claiming benefits.

In one instance a person flew out from Belfast and back through Dublin, while in another a family had travelled to England and back again via Dublin because it was cheaper.

UK and Irish citizens can travel freely into each other’s countries under the Common Travel Area arrangement (CTA).

There are no routine passport checks when travelling through the border between Northern Ireland and the Republic of Ireland, meaning the UK government has no data to show that someone may have returned to Northern Ireland.

HMRC said it would be introducing an “upfront check” to identify Northern Ireland customers whose exit from the UK was to the Republic of Ireland and will not suspend their payments without first clarifying their residency.

‘Simply appalling’

Hughes, who is the MP for Newry and Armagh, told BBC Radio Ulster’s Good Morning Ulster programme that the policy was being “created in a context of being completely oblivious to the realities of life on this island”.

He said that people from Northern Ireland use Dublin Airport for a variety of reasons and it is “just as handy” to them as either airport in Belfast.

“It is quite patently a ridiculous set up, where months and months, in some cases years after returning to the north, a letter arrives at peoples doors informing them that their child benefits have been suspended and in order to get them reinstated there are extensive hoops to jump through,” he added.

“It’s simply appalling.”

He said he has received a “number of confirmations that payments have been reinstated” to some of the families he represents.

Hughes welcomed the news and added that HMRC had to ensure it did not happen again.

‘Protect taxpayers’ money’ – HMRC

HMRC said it had involved a “small number of customers in Northern Ireland”.

As of 17 October 2025, HMRC said they had had sent enquiry letters to 346 customers from Northern Ireland. This is out of 219,255 customers claiming child benefit in Northern Ireland.

HMRC also said they have reinstated payments and closed enquires to 134 people after carrying out employment checks.

There are 46 cases which are currently undergoing these checks and HMRC confirmed they will reinstate payments once they are complete.

Child benefit is paid to more 6.9 million families, supporting 11.9 million children. It is one of the most widely accessed forms of benefit in the UK.

HMRC said a successful pilot scheme focusing on those who left the UK but carried on claiming, had already prevented £17m in wrongful payments by removing them from the system.

“It’s crucial that we undertake this work to protect taxpayers’ money,” HMRC added.



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Budget 2026 Live Updates: TCS On Overseas Tour Packages Slashed To 2%; TDS On Education LRS Eased

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Budget 2026 Live Updates: TCS On Overseas Tour Packages Slashed To 2%; TDS On Education LRS Eased


Union Budget 2026 Live Updates: Union Budget 2026 Live Updates: Finance Minister Nirmala Sitharaman is presenting the Union Budget 2026-27 in Parliament, her record ninth budget speech. During her Budget Speech, the FM will detail budgetary allocations and revenue projections for the upcoming financial year 2026-27. Sitharaman is notably dressed in a Kanjeevaram Silk saree, a nod to the traditional weaving sector in poll-bound Tamil Nadu.

The budget comes at a time when there is geopolitical turmoil, economic volatility and trade war. Different sectors are looking to get some support with new measures and relaxations ahead of the budget, especially export-oriented industries, which have borne the brunt of the higher US tariffs being imposed last year by the Trump administration.

On January 29, 2026, Sitharaman tabled the Economic Survey 2025-26, a comprehensive snapshot of the country’s macro-economic situation, in Parliament, setting the stage for the budget and showing the government’s roadmap. The survey projected that India’s economy is expected to grow 6.8%-7.2% in FY27, underscoring resilience even as global economic uncertainty persists.

Budget 2026 Expectations

Expectations across key sectors are taking shape as stakeholders look to the Budget for support that sustains growth, strengthens jobs and eases financial pressures:

Taxpayers & Households: Many taxpayers want practical improvements to the income tax structure that preserve simplicity while supporting long-term financial planning — including broader deductions for home loan interest and diversified retirement savings options.

New Tax Regime vs Old Tax Regime | New Income Tax Rules | Income Tax 2026

Businesses & Industry: With industrial output and investment showing resilience, firms are looking for policies that bolster capital formation, ease compliance, and expand infrastructure spending — especially in manufacturing and technology-driven sectors that promise jobs and exports.

Startups & Innovation: The startup ecosystem expects incentives around employee stock options and capital access, along with regulatory tweaks that encourage risk capital and talent retention without increasing compliance burdens.

Also See: Stock Market Updates Today

The Budget speech will be broadcast live here and on all other news channels. You can also catch all the updates about Budget 2026 on News18.com. News18 will provide detailed live blog updates on the Budget speech, and political, industry, and market reactions.

We are providing a full, detailed coverage of the union budget 2026 here, with a lot of insights, experts’ views and analyses. Stay tuned with us to get latest updates.

Also Read: Budget 2026 Live Streaming

Here are the Live Updates of Union Budget 2026:



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Budget 2026: Cabinet gives green signal to Union Budget 2026–27

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Budget 2026: Cabinet gives green signal to Union Budget 2026–27


New Delhi: The Cabinet on Sunday approved the Union Budget 2026-27 during a meeting in Parliament chaired by Prime Minister Narendra Modi. A meeting of the Union Cabinet was held at Sansad Bhawan at 10 a.m., and after the Cabinet’s approval, Finance Minister Nirmala Sitharaman proceeded to Parliament to present the Budget.

Earlier, FM Sitharaman met President Droupadi Murmu and offered her a copy of the digital budget. The President also offered ‘dahi-cheeni’ (curd and sugar) to Sitharaman when she arrived at the Rashtrapati Bhavan. The Finance Minister was seen carrying her trademark ‘bahi-khata’, a tablet wrapped in a red-coloured cloth bearing a golden-coloured national emblem on it.

Minister of State for Finance Pankaj Chaudhary, Chief Economic Advisor Dr V. Anantha Nageswaran, Central Board of Direct Taxes (CBDT) Chairman Ravi Agrawal and other officials were seen accompanying the Finance Minister. Sitharaman was set to present her ninth consecutive Union Budget in the Lok Sabha. In 2021, she switched to using a digital tablet to carry the Budget papers, further promoting a modern and eco-friendly approach.

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The ‘bahi-khata’ is a red pouch that holds the digital tablet containing the Budget documents. This year, Sitharaman opted for a deep maroon Kanjeevaram saree from Tamil Nadu. The saree featured a deep maroon base with a contrasting border and subtle gold detailing, paired with a yellow blouse.

The Budget is likely to strike a deft balance of sustaining growth momentum and maintaining fiscal consolidation. It also needs to address near-term challenges emanating from unprecedented geopolitical flux, said economists. According to economists, the budget is likely to focus more on capital expenditure, especially in sectors deemed to be strategically important owing to prevailing geopolitical compulsions.

While the FY26 Budget was more tilted towards stimulating middle-class consumption with tax reliefs, the FY27 Budget’s approach to stimulating consumption will be selective, they added.



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Education Budget 2026 Live Updates: What Will The Education Sector Get From FM Nirmala Sitharaman?

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Education Budget 2026 Live Updates: What Will The Education Sector Get From FM Nirmala Sitharaman?


Union Education Budget 2026 Live Updates: Union Finance Minister Nirmala Sitharaman will present the Union Budget 2026–27 on February 1, with a strong focus expected on the Education Budget 2026, a key area of interest for students, teachers, and institutions across the country.

In the previous budget, the Bharatiya Janata Party government announced plans to add 75,000 medical seats over five years and strengthen infrastructure at IITs established after 2014. For 2025, the Centre had earmarked Rs 1,28,650.05 crore for education, a 6.65 percent rise compared to the previous year.

Meanwhile, the Economic Survey 2025–26, tabled in the Parliament of India, points to persistent challenges in school education. While enrolment at the school level is close to universal, this has not translated into consistent learning outcomes, especially beyond elementary classes. The net enrolment rate drops sharply at the secondary level, standing at just over 52 per cent.

The survey also flags concerns over student retention after Class 8, particularly in rural areas. It notes an uneven spread of schools, with a majority offering only foundational and preparatory education, while far fewer institutions provide secondary-level schooling. This gap, the survey suggests, is a key reason behind low enrolment in higher classes.

Stay tuned to this LIVE blog for all the latest updates on the Education Budget 2026 LIVE.



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